Virginia leader reacts to Trump’s exemptions on tariffs for Mexico and Canada

RICHMOND, Va. (WRIC) — Just a day after Senator Tim Kaine announced legislation challenging President Donald Trump's tariffs, he's now standing down.

This comes after the President signed an executive order on Thursday, issuing exemptions on tariffs for goods and services coming into the U.S. from Mexico and Canada. Those tariffs initially went into effect on Tuesday, along with a tariff on goods from China. Then a day later, the White House said it would exempt automakers from the tariffs to minimize disruption to the industry.

“Donald Trump and his team have suddenly decided maybe we ought to pay attention to the consequences of our actions, and if they're hurting people, do something different,” Kaine said.

He has been working alongside Amy Klobuchar (D-MN), and Mark R. Warner (D-VA) on legislation that would terminate the emergency that Trump used to launch a trade war with America's three biggest trading partners. Kaine says he and the senators will need to review the details of this latest reprieve, before determining their next steps.

“We still have a variety of options to challenge the president's use of emergency powers to impose tariffs. We're going to have to kind of assess how to use those options given the fact that he's now backing off. But I am going to do all I can to make sure that Virginians are not punished by tariffs," Kaine said.

8News also spoke with Jeff Smith, Professor of Supply Chain Management and Analytics at VCU. Although these tariffs have now been delayed, he says they'll drive up costs for everyday purchases, including car repairs and electronics -- adding that the increases could first be seen at the grocery store. 

“It starts with perishables," Smith said. "So you're going to see fruits, vegetables, that type of product that are going to get hit first because they're more time sensitive.”

Smith explained that when implemented correctly, tariffs can help to equalize the competition for domestic manufacturers by offsetting the cost advantages that foreign producers may have.

"I know it's couched as unfairness ... but in reality, tariffs are effective at leveling the playing field for domestic manufacturing," Smith said.

He told 8News that this ever-changing situation has instead caused mass economic uncertainty.

“We're taking a sledgehammer to a situation where we need a scalpel," Smith said. "If it's done correctly, it can benefit. If it's just slapped on everything, it causes chaos. And firms are really struggling to understand what to do, which creates more chaos for consumers at the endpoint.”