Coca-Cola's prices will be bubbling up soon, and it's thanks in part to recent U.S. tariffs on steel and aluminum imports. The beverage giant's CEO said the company will be upping the prices on its carbonated drinks because the tariffs have made cans more expensive to produce. President Donald Trump imposed a 25 percent tariff on steel and 10 percent tariff on aluminum in March. Coca-Cola also blamed rising labor costs and did not say how much prices will rise.
Class discussion: Do you understand how tariffs work? Who ends up paying the taxes placed on imported products? Do tariffs on foreign products allow U.S. companies raise their prices on similar products made here? Why did President Trump place tariffs on goods from several nations? How did those nations react to the tariffs? What is a trade war? Would a trade war create more jobs or destroy more jobs in the United States? How is the president’s call for a $12 billion bailout for farmers connected to tariffs?