Tariffs Start at the Port—But the Bill Lands at home

Tariffs are back in the headlines—especially after President Donald Trump declared April 2nd as “Liberation Day,” announcing plans to reimpose tariffs on other countries. U.S. Representative Keith Self echoed his support, posting on Facebook: “This is what over 77 million Americans voted for…”

But do voters truly understand what they voted for? Do they know how tariffs work and who actually pays the price? While we’ve often been told that other countries will foot the bill, the reality is very different. The real costs in most cases hits closer to home.

Covering key parts of Collin County—including Plano, Frisco, McKinney, and Allen—Texas 3rd district is directly affected by trade policy. Tariffs influence the price of everything from groceries to electronics to new cars. So, let’s break it down: who really pays for tariffs, and is there any benefit for our community?


Tariffs 101: What Are They?

A tariff is a tax on imported goods. When a product arrives at a U.S. port, U.S. Customs and Border Protection (CBP) collects the tariff before the goods can be released. The importer—the U.S. based company bringing the item in—is responsible for paying that fee, not the foreign exporter.

Tariffs are designed to make imported goods more expensive, ideally encouraging Americans to buy U.S. made alternatives. On paper, this helps domestic industries. In practice, the story is a little more complicated.


Who Pays the Price? Look No Further Than the Checkout Line

Despite bold political claims, the burden of tariffs rarely falls on foreign companies. In most cases, U.S. importers pass the extra cost onto consumers.

Take the 2018 tariff on imported washing machines. President Trump’s administration levied tariffs of up to 50% to protect companies like Whirlpool. The result? Prices for washing machines rose by an average of $86, and dryers—which weren’t even tariffed—jumped $92, since they’re often sold as a pair. A study found that U.S. households paid $1.5 billion more, while the government collected just $82 million in tariffs. That means for every $1 gained by the government, consumers paid $1.57.

This is a clear example of how tariffs, while well-intentioned, often hit American consumers hardest—especially working families.


Food, Farming, and the Texas Ripple Effect

While North Texas is known for its growing suburbs and tech scene, agriculture still plays a vital role in the region’s economy. In 2018, after China retaliated with its own tariffs, American farmers—including those in nearby rural counties—suffered steep losses. Soybean exports collapsed, and prices for crops like cotton and sorghum fell.

Even if you’re not a farmer, you’ve likely felt the effect at the grocery store. The Journal of Economic Perspectives‘ study estimated that tariffs in 2018 reduced real income across the U.S. by $1.4 billion per month. For a family in Texas’ 3rd District already grappling with rising costs, this meant a reduction in purchasing power—not in wages or jobs, but in everyday spending ability that simply disappeared.


Are There Any Upsides to Tariffs?

Tariffs can offer long-term benefits—but they take time. In theory, they give U.S. manufacturers a competitive edge by making foreign goods more expensive. In places like Texas, that could mean more local jobs and stronger regional economies.

Tariffs can also reduce U.S. dependence on foreign suppliers for critical goods, like semiconductors or medical equipment—a vulnerability exposed during the COVID-19 pandemic. Additionally, they can be used as bargaining chips in trade negotiations, although the process is rarely painless.

Still, lets be clear these benefits take years to materialize, while the cost consumers and small businesses will bear will be inmmediate.


What It Means for You in TX-3rd

If you’ve noticed higher prices online or at the store, tariffs may be part of the reason—and it could get worse. Our district thrives on international trade. From high-tech companies to small importers to family farms, many in our community depend on global supply chains. Tariffs threaten to disrupt that ecosystem.


Bottom Line

Tariffs may be framed as a tax on foreign countries, but they’re a tax on American consumers. The economic impact might begin at the border—but is directly felt at the checkout line.

As the national debate on trade heats up, one thing is clear: Texas 3rd District families, farmers, and small businesses will be the ones paying the price. While tough trade talk might rally political supporters, the data shows rising costs and economic uncertainty. For the sake of the district, Representative Keith Self must look beyond rhetoric and ground his decisions in economic reality—not political wishful thinking.


Have you or your business been impacted by tariffs?
Share your story with us at TX3DNews.com—because your news, your voice, our community matters.

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