Many Moderate Democrats Tell Trump: No Canada, Mexico Tariffs
More than a fifth of House Democrats, led by Rep. Jim Costa, D-Calif., asked President Donald Trump to reconsider broad tariffs on Canada and Mexico because of the inflationary impact they would have on housing construction.
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The letter, publicized by Costa on Feb. 12, argued that antidumping duties of 14.5% already add $9,000 to the cost of a new house.
"Given the severe housing shortage, compounded by rising construction costs, persistent supply-chain disruptions, and an estimated shortfall of six million homes, these looming tariffs, while intended to protect domestic industries, risk further exacerbating the housing supply and affordability crisis while stifling the development of new housing," they wrote.
"In 2023, the United States imported $8.5 billion worth of sawmill wood products, with approximately 70 percent of that volume sourced from Canada," they said. "Likewise, the nation imported $456 million worth of lime and gypsum products critical for cement production and drywall manufacturing, with 71 percent originating from Mexico. These figures vividly illustrate our heavy reliance on imported building materials."