How Tariffs Will Make Everything More Expensive In The U.S. | CNBC Marathon

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CNBC Marathon explores how tariffs will increase pricing across key American industries and commodities. Aluminum is a critical mineral used in American defense, transportation and energy systems. Producing aluminum requires large amounts of electricity, and typically occurs in China, Russia, India and Canada. In March 2025, the Trump administration imposed 25% tariffs on all aluminum entering the United States. Companies including Alcoa, Ford, Coca-Cola and Lockheed Martin could face higher input costs. But aluminum production's return may take time due to high demand for the electricity required to process the metal. A plan to re-shore automotive manufacturing by imposing tariffs will take years and require billions of dollars in investment. In the meantime consumers could see higher prices and fewer choices. CNBC breaks down which vehicles are likely most affected and how much prices are likely to rise. Volatile lumber prices have been causing uncertainty for construction businesses. In April 2025, the price of softwood lumber was 23% higher than the previous year. Lumber futures in the first quarter of 2025 have also surged on fears of higher duties as well as sawmill closures across North America. That has impacted some of the U.S. biggest homebuilders like Lennar, D.R. Horton, and Toll Brothers, which suffered declines in their stocks during the spring of this same year. According to the NAHB, Canada ultimately accounts for about 85% of all U.S. softwood lumber imports and represents almost a quarter of U.S. supply as of April 2025; and yet, while lumber had escaped the round of tariffs that spring, they were notably on the radar of the Trump administration for what’s to come next. Whether it’s electricity costs to make up for aluminum production, global auto brands now at risk across the market, or taxes on lumber that may jeopardize affordable housing across America, tariffs targeting manufacturing operations and products nationwide could mean a very different and even more expensive future for the U.S. CNBC uncovers why and how we got here. Chapters: 00:00 Introduction 00:52: Why Aluminum Tariffs May Be Pricey For Americans (Published March 2025) 10:05 How Tariffs Are Going To Jack Up Car Prices In The U.S. (Published March 2025) 17:51 Why The U.S. Might Increase Duties On Canadian Lumber Again (Published May 2025) Produced by: Carlos Waters, Robert Ferris, DeLon Thornton Edited by: Carlos Waters, Darren Geeter, Nora Rappaport Supervising Producers: Shawn Baldwin, Tala Hadavi Animation: Jason Reginato, Christine Kim Camera: Kaan Oguiz, Lucas Mullikin Additional Footage: Getty Images Additional Sources: Center for Strategic and International Studies, Clinton Aluminum, Council on Foreign Relations, Howard Precision Metals Inc., Federal Register, National Mining Association, International Aluminum Association of Home Builders, Office of the U.S. Trade Representative, Peterson Institute for International Economics, Reynolds, U.S. Geological Survey, U.S. International Trade Administration » Subscribe to CNBC: https://cnb.cx/SubscribeCNBC » Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision » Watch CNBC on the go with CNBC+: https://www.cnbc.com/WatchCNBCPlus About CNBC: From 'Wall Street' to 'Main Street' to award winning original documentaries and Reality TV series, CNBC has you covered. Experience special sneak peeks of your favorite shows, exclusive video and more. Do you want to buy a home but don’t know where to begin? Take CNBC’s new online course How to Buy Your First Home. Register today and use coupon code EARLYBIRD for an introductory discount of 30% off $97 (+taxes and fees) through July 15, 2025: https://cnb.cx/3STNNhr Connect with CNBC News Online Get the latest news: https://www.cnbc.com/ Follow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC Follow CNBC News on Instagram: https://cnb.cx/InstagramCNBC Follow CNBC News on Facebook: https://cnb.cx/LikeCNBC Follow CNBC on Threads: https://cnb.cx/threads Follow CNBC News on X: https://cnb.cx/FollowCNBC Follow CNBC on WhatsApp: https://cnb.cx/WhatsAppCNBC #CNBC How Tariffs Will Make Everything More Expensive In The U.S. | CNBC Marathon