Trump's Tariffs May Affect U.S. State, City Budgets

President Donald Trump’s decision to impose tariffs on steel and aluminum imports could result in economic growth, that is slower than states assumed in their budget forecasts. The import tariffs of 25 percent on steel and 10 percent on aluminum could lead to a trade war and higher inflation, according to a credit rating agency report. Cities could face similar problems if they are heavily dependent on exports ,or if their economies rely on cheaper steel and aluminum prices.