Who’s Footing the Bill for Trump’s Tariffs? 🤔
Goldman Sachs analysts dropped a new report showing that by year-end, U.S. consumers will cover 55% of the tariff costs slapped on imports by President Donald Trump. Businesses will chip in 22%, foreign exporters 18%, and about 5% of the costs might slip through the cracks.
Right now, U.S. businesses seem to be bearing more of the load. Why? Some tariffs just kicked in, and it takes time for companies to hike prices for you or negotiate cheaper import deals with suppliers abroad.
Here’s the breakdown in simple terms:
- 55%: You, the consumer
- 22%: American businesses
- 18%: Producers overseas
- 5%: Unpaid or dodged costs
So, what does this mean for your wallet? The report says these levies have already bumped up the core personal consumption expenditure index by 0.44% this year. Expect inflation to edge towards 3% by December—meaning stuff from your morning coffee ☕ to your next smartphone upgrade 📱 could cost a bit more.
Bottom line: While the politics around trade wars can feel far away, their price tags show up right at the checkout line. Stay savvy, watch prices, and maybe shop around or hold off on big buys until things stabilize.
Got thoughts? Drop a comment and let’s chat! 💬
Reference(s):
Report finds U.S. consumers to bear more than half of tariff costs
cgtn.com
