Trade experts tell CNBC that the tariffs announced by President Donald Trump on Wednesday are equivalent to building a trade wall around the U.S. economy of nearly $1 trillion.

With the way tariffs work, the estimated costs of the new tariffs U.S. businesses will be paying is $654 billion a year, according to Trade Partnership Worldwide, and it’s a number that will grow — the figure does not include up to $300 billion more in new tariffs under the International Emergency Economic Powers Act (IEPPA) and Section 232 of the Trade Expansion Act tariffs on steel, aluminum and autos.

American companies will now be on the hook for $1 billion to $2 billion per day, based on estimates using tariff costs paid in 2024.