Cheap Rent Could be Another Casualty of the Trade War

Trump’s tariffs on steel and other building materials are driving up building costs slowing development and pushing up rents.

1 minute read

July 28, 2018, 11:00 AM PDT

By Casey Brazeal @northandclark


Apartment Construction

Chad Zuber / Shutterstock

Developers in Boston are worried about the spate of new tariffs from the Trump administration. "Tariffs imposed recently by the Trump administration on some of the country’s biggest trading partners are driving up the prices of lumber, steel, aluminum, and other building materials," Tim Logan and Adam Vaccaro write for The Boston Globe. When developers don't build, that slows down supply of housing. "In some cases, that could mean higher rents on apartments or more tax dollars spent on a new bridge," Logan and Vaccaro report.

Because the development cycle takes place over many years, changes in the price of materials can make a huge difference. Businesses want predictability. Rising costs also affect government projects, the city of Boston anticipates the bump in material costs will add $7.5 million dollars in additional cost to the projects. The added costs will have effects that go well beyond Boston.

Some developers are avoiding high raw steel tariffs by buying prefabricated steel products, like pipes and beams, in Canada and trucking them to the United States.

Wednesday, July 11, 2018 in The Boston Globe

portrait of professional woman

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban Planner

Cover CM Credits, Earn Certificates, Push Your Career Forward

Logo for Planetizen Federal Action Tracker with black and white image of U.S. Capitol with water ripple overlay.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

July 2, 2025 - Diana Ionescu

Aerial view of town of Wailuku in Maui, Hawaii with mountains in background against cloudy sunset sky.

Maui's Vacation Rental Debate Turns Ugly

Verbal attacks, misinformation campaigns and fistfights plague a high-stakes debate to convert thousands of vacation rentals into long-term housing.

July 1, 2025 - Honolulu Civil Beat

White and purple sign for Slow Street in San Francisco, California with people crossing crosswalk.

San Francisco Suspends Traffic Calming Amidst Record Deaths

Citing “a challenging fiscal landscape,” the city will cease the program on the heels of 42 traffic deaths, including 24 pedestrians.

July 1, 2025 - KQED

Blue and silver Amtrak train at small station.

Amtrak Rolls Out New Orleans to Alabama “Mardi Gras” Train

The new service will operate morning and evening departures between Mobile and New Orleans.

July 3 - New Orleans City Business

Large spinning swing ride at Chicago's Navy Pier.

The Subversive Car-Free Guide to Trump's Great American Road Trip

Car-free ways to access Chicagoland’s best tourist attractions.

July 3 - Streetsblog Chicago

Aerial view of downtown San Antonio, Texas at night with rotating Tower of the Americas in foreground.

San Antonio and Austin are Fusing Into one Massive Megaregion

The region spanning the two central Texas cities is growing fast, posing challenges for local infrastructure and water supplies.

July 3 - Governing