How Are The Trump Tariffs Impacting You?

A new report from Goldman Sachs says American shoppers will pay 55 percent of the costs from President Trump’s tariffs this year.

What It Means For You: Your grocery bills, clothing purchases, and other everyday items will likely cost more in the coming months as businesses pass tariff costs onto customers.

What’s Happening: The financial firm broke down who pays for the tariffs:

• American consumers cover 55 percent of costs
• American businesses pay 22 percent
• Foreign companies pay 18 percent
• Five percent of costs get avoided

Who They Are: Goldman Sachs is one of the world’s largest investment banks. The firm employs thousands of economists who track global markets and predict how policies affect prices. Their economic forecasts guide major companies and governments on financial decisions.

Between the Lines: Companies are still figuring out how to handle the new tariffs. Right now, businesses are absorbing more of the costs because the tariffs just started. But Goldman Sachs says those companies will raise prices on shoppers over the next few months.

The White House vs. Economists: The White House says foreign countries will eventually pay the tariff costs, not Americans. A spokesperson told reporters that while families might face higher prices during a “transition period,” foreign exporters will bear the costs long-term.

The administration points to companies moving production back to the United States as proof the tariffs are working. But government data from last month showed consumer prices were up 2.9 percent compared to the year before.

The Supreme Court will decide in November whether the president has the legal power to impose these widespread tariffs under a 1977 emergency powers law.

The Sources: Goldman Sachs economic analysis, Bureau of Labor Statistics, White House statements.