If tariffs remain high on many of the goods imported into the U.S., the cost of buying things made overseas is going to skyrocket. That begs the question: Is it possible to buy most, or even more, products from the United States?
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What, in fact, would a truly “Made in the USA” lifestyle look like and cost? Is it even possible? Experts explained the impact.
When something either bears the label or purports to be “Made in the USA” that implies it is manufactured from start to finish in the United States, according to Vincent Caballer, a veteran manufacturing expert and founder of Medpak Solutions. That means its workers, its materials and its machinery are all based in the U.S.
“It also implies that there are regulations and controls in order to ensure the product is safe, sanitary and does the job it needs to do,” he said.
The point of such products is to emphasize “supporting local jobs, boosting the economy and often aligning with values like higher quality and sustainability,” according to George Carrillo, CEO of the Hispanic Construction Council (HCC).
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Fully committing to this lifestyle is challenging for the average consumer, Carrillo explained. “The reality is that more than 90% of electronics are imported, and affordable domestic options for items such as clothing or toys are limited due to globalization,” he said.
Caballer added that producing products in the U.S. involves paying employees good wages, obeying safety regulations and utilizing quality materials. “That makes it more expensive.”
American-made products are typically 20% to 50% more expensive than imports, Carrillo said. For instance, a T-shirt made in the U.S. might cost $25 compared to $10 for an imported option. Similarly, a domestically made sofa could be priced 40% to 60% higher than an imported one.
Cars and kitchen products might not cost significantly more if they are fully made in the U.S., however.
Although the initial price of buying “Made in the USA” is higher, Caballer said that American-made products tend to last longer.
“They’re built to last, so you don’t need to buy new ones as frequently. That saves money in the end. And if you want to sell it in the future, such as a used car, it could be worth more,” he added.
Unfortunately, most consumers don’t fully understand the trade-offs between domestic and imported goods.