In Merriam-Webster Tariff defined as a schedule of duties imposed by a government on imported or in some countries exported goods.
In fact tariff is a tax on imports mostly goods. in the united states, many tariffs are paid at the port of entry by a customs broker along with other relevant duties to the U.s. customs and border protection.
global businesses may affected by higher tariff either because firms must use more expensive domestic parts or pay more for the finished products. on the other hand higher tariff may support domestic businesses and help them to expand by competing with rivals overseas.
in an article written by Brent Radcliffe in Investopedia,
Free trade benefits consumers through increased choice and reduced prices, but because the global economy brings with it uncertainty, many governments impose tariffs and other trade barriers to protect the industry. There is a delicate balance between the pursuit of efficiencies and the government’s need to ensure low unemployment.”
Read more: The Basics Of Tariffs And Trade
