Incredibly simple and common knowledge. A tariff is an additional cost imposed on goods coming in. The exporter pays nothing at all. It simply makes the product more expensive for the buyer. Your government is not helping by making you pay more to buy something. Ford, Chrysler and GM in Detroit are buying the majority of their parts from Canada for $100 per, now the government says the auto manufacturers have to pay $125 per. The company is not going to absorb the cost and sell at a loss.