This proposal paves the way for the United States to slap punitive tariffs on imports from countries, such as China, believed to be undervaluing their currency. By increasing tariffs on Chinese imports, and imports from countries deemed to have an undervalued currency, this bill will most certainly result in retaliation by our largest trading partners, hurting consumers at a time when disposable income is hard to come by.
Tariffs are taxes and any increase in the price of imports is immediately passed on to consumers. While, protectionist measures are often enacted for the purpose of shielding domestic industries from "unfair trade practices," all indications are that they instead punish the multiple industries that rely on imports for their material inputs such as steel and raw materials. When input costs increase as a result of a rise in import tariffs, industries must cut costs elsewhere, the most likely being labor costs, meaning jobs.