Tariffs

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Picking a price

Mattresses. Strollers. Power tools. President Donald Trump’s tariffs and unpredictable trade policies have already jacked up the cost of some common household products. Companies say they’re having a hard time figuring out what to charge. ps:And sadly these prices will probably never come back down!!!!!

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Walmart warns it will raise prices because of tariffs

Walmart, the world’s largest retailer, said President Donald Trump’s tariffs are “too high” and it will raise prices on some items as Trump’s global trade war increases the company’s costs.

https://www.cnn.com/2025/05/15/business/walmart-prices-tariffs?

A rare warning from Walmart during a US trade war: Higher prices are inevitable

NEW YORK (AP) — Walmart, which became the nation’s largest retailer by making low prices a priority, has found itself in a place it’s rarely been: Warning customers that prices will rise for goods ranging from bananas to car seats.

https://www.orlandosentinel.com/2025/05/15/walmart-prices-tariffs-trump/?

ps:The stupidity of one person and his minions who only care about themselves!! Greed

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Tariffs

President Donald Trump’s economic agenda was thrown into chaos on Wednesday after a federal court ruled that he didn't have the authority to impose sweeping tariffs. The three-judge panel at the US Court of International Trade ruled in favor of a permanent injunction, one that would block the global tariffs the president announced on “Liberation Day,” citing emergency economic powers. The ruling will also prevent Trump from enforcing the tariffs he placed on imports from Canada, China and Mexico earlier this year. It does not affect the 25% tariffs on autos, auto parts, steel or aluminum, which were subject to a different law than the one Trump cited for his broader trade actions. The administration has appealed the decision.

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? Manufacturers stare down supply shortages

Illustration: Megan Robinson/Axios

American manufacturers are having pandemic flashbacks: some say tariff disruptions are starting to stack up to the COVID era, with nearly as much difficulty securing critical inputs, Axios' Courtenay Brown writes. Why it matters: Tariffs were supposed to spur a manufacturing renaissance, not bring the manufacturing economy grinding to a halt. The big picture: Factories are reporting longer delivery times for supplies. Material prices are rising at a faster rate. Automakers are warning of supply disruptions shutting down assembly lines, with at least one carmaker pausing production. This time, there's no deadly virus, though trade wars and tariffs are still sending shockwaves through global supply chains, which could leave consumers with fewer options on shelves. Keep reading.

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US companies are scrambling to move supply chains. This small island could be the answer

At the start of February, Randy Carr, the CEO of World Emblem, booked a plane ticket to the Caribbean.

https://www.cnn.com/2025/06/04/business/us-companies-manufacturing-dominican-republic?

ps:But for how long??

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CHART OF THE DAY

 

Businesses have adjusted to Trump’s tariffs by increasing prices on all their goods, even those not affected by the new tax. (Source: Federal Reserve)

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Tariffs add about $82 billion in costs for midsize U.S. companies

President Trump's tariffs add about $82 billion in total new costs for all mid-sized U.S. companies, per a new estimate — a sum that would more than double if rates return to levels seen at the height of trade tensions in April.

https://www.axios.com/2025/07/02/trump-tariffs-costs-companies?

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? Mapped: Where tariffs hit hardest

Data: Trade Partnership Worldwide. Map: Erin Davis/Axios Visuals Tariffs imposed by President Trump have generated tens of billions of dollars in revenue for the government — but the burden falls far from equally on different states, Axios' Ben Berkowitz writes. Why it matters: Who pays for tariffs is a long-settled issue — American businesses do, to the tune of billions of dollars, especially in places like California and Texas. ? By the numbers: From Jan. 1 to May 31 of this year, California faced a tariff impact of $11.3 billion, by far the highest in the country. Texas was a distant second at $6 billion, followed by Michigan at $3.3 billion. Keep reading.

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? Tariffs squeeze profit margins

Data: KPMG. Chart: Axios Visuals A survey out today finds many companies are already feeling tariff pain, Axios' Ben Berkowitz writes. Why it matters: Businesses can only eat trade costs for so long before raising prices, fueling the tariff-driven inflation many economists fear. 57% of companies were already experiencing a tariff-driven decline in gross margins as of May, according to a KPMG Tariff Pulse Survey of executives at 300 companies with annual revenue of $1 billion or more. A quarter of respondents said their margins had already fallen by 6% or more. ? Zoom in: If higher prices haven't shown up for customers yet, the survey makes clear they're coming. 77% of respondents said their companies are considering price increases of at least 5% in the next six months.

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Price check

Americans could see higher prices on certain items soon because of the tariffs President Donald Trump has enacted. That timeline might speed up if he follows through with his latest tariff threats, which are set to take effect in three weeks.

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Tariffs squeeze back-to-school shopping

Illustration: Sarah Grillo/Axios

Parents are heading into back-to-school season facing rising prices and looming tariffs, forcing them to shop smarter and earlier, Axios' Kelly Tyko reports. Why it matters: Back-to-school shopping is the second-biggest retail event of the year, after the holidays. This season is a stress test for family budgets and a strategy test for retailers trying to hold onto value-conscious shoppers. ? By the numbers: 67% of back-to-school shoppers had already started buying for the coming school year as of early June, according to the National Retail Federation's annual survey, released today. That's the highest since NRF started tracking early shopping in 2018. 51% of families said they are shopping earlier this year compared with last year, "out of concern that prices will rise due to tariffs," NRF said. Go deeper.

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Tariff chaos makes Wall Street rich

Illustration: Eniola Odetunde/Axios

Market volatility spiked in the second quarter of 2025, after tariff policy chaos fueled a selloff in stocks. But Wall Street got rich. Goldman Sachs raked in its best trading revenue in history, Axios' Madison Mills reports. Why it matters: The record quarter tells investors they don't necessarily need to fear the market's down days — which are often close in proximity to the best days. ? By the numbers: Goldman's equity trading desk generated $4.3 billion in revenue, a 36% jump from a year prior. That beat the street's expectations by over $600 million. Morgan Stanley's equity revenue came in at $3.7 billion, up from $3 billion a year prior. Citigroup's trading revenue increased 16% from the prior year. How did Wall Street do it? While this isn't an exhaustive list, here are some of the strategies discussed on earnings calls: ? Equity intermediation, otherwise known as being the middleman between institutional buyers and sellers. ? Portfolio financing, or lending to big-money clients. ? Volume — a lot of clients wanted to position themselves well amid volatility. But it's not just the banks that won this quarter. Retail investors were rewarded for staying invested, rather than selling, when stocks initially plummeted after Liberation Day. That's because the market is now up about 26% since it bottomed in April. ? Zoom out: A trade war-stunted economy remains something forecasters hand-wring about, but it's not the reality on the ground, Axios' Courtenay Brown reports. American consumers are spending freely, unemployment filings are low, and executives feel more optimistic about business prospects. It doesn't look like an economic boom time, but it's also not the stagnation that looked possible just months earlier.

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? Charted: Tariff revenue spikes

Data: Fiscal Data, Treasury. Chart: Axios Visuals The government has generated an extra $20 billion each of the past two months, which could total $240 billion in additional revenue this year, Axios' Madison Mills writes. Why it matters: Knowing who's paying the tariffs — and how much they're paying — helps investors gauge which companies will see profits squeezed as trade tensions continue. Where it's coming from: Motor vehicles brought in $3.4 billion, or over 14% of the $24.2 billion in total tariff revenue for May, according to data reviewed by Jason Miller, interim chair of supply chain management at Michigan State University. Vehicle parts added $1.2 billion, while lithium-ion EV batteries contributed nearly $480 million. ? Between the lines: Many companies set prices annually, meaning the full impact of tariffs may not be clear until next year. "Just like the tariff revenue will accumulate over time, and become a large number, the impact on the economy is likely to be felt over time," notes Peter Tchir, head of macro strategy at Academy Securities.

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Tariffs

The US and the European Union have managed to avoid an economically crippling trade war. President Donald Trump and European Commission President Ursula von der Leyen shook hands in Scotland on Sunday after agreeing on the framework for a trade deal between two of the world’s biggest economies. The agreement sets a 15% tariff on most European goods entering the US, which is higher than the 10% tariff Trump put in place on April 2 and significantly higher than the average of around 1.2% from before Trump’s presidency. Yet it’s lower than the 50% tariff Trump threatened in May when trade talks were stymied. Trump backed off that threat after speaking with von der Leyen, who called him to say the EU would commit to moving “swiftly and decisively.”

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? The tariffs that stole Christmas

Illustration: Brendan Lynch/Axios

Companies that import and sell Christmas trees, twinkling lights and other holiday decorations say they've been hammered by tariffs, Axios' Emily Peck reports. Why it matters: Expect higher prices and fewer choices for holiday supplies — with industry leaders warning of shortages. ? "There's no question it will be harder to find the exact tree and decor you want this year," says Jami Warner of the American Christmas Tree Association. ? Where it stands: Christmas executives (yes, that's a thing) have had to be real Scrooges since President Trump's "Liberation Day" tariffs. They've laid off workers, canceled or cut back imports and raised prices to deal. One exec said he has a loan of about $1 million, backed by his house, that he may need to tap to pay tariffs. ? The intrigue: It's not totally clear that consumers will see all these price increases. Plenty of folks have their ornaments and trees safely stored away for reuse every year. Read on.

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? Car insurance spike ahead

Data: Insurify. Map: Kavya Beheraj/Axios Car insurance could get pricier faster this year if tariffs stick around, Alex Fitzpatrick writes from a new projection. Why it matters: Higher tariffs mean more expensive repairs — and steeper premiums for drivers. By the numbers: The nationwide average annual cost of full-coverage car insurance could rise by 7% between June and December if tariffs stay in effect, compared to 4% otherwise, per a new Insurify report. ? In raw terms, the average cost could hit $2,472 with tariffs vs. $2,402 without them. ?? That's based on the tariff picture as of Aug. 1, reflecting the Trump administration's recently lowered rates on cars and auto parts from Japan, South Korea and Europe. ? Tariffs affect insurance rates by increasing the costs of imported parts needed for repairs. Inflation, accident frequency and claims due to extreme weather also impact rates. Go deeper.

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Taxing Trade

What are tariffs? A tariff—a word derived from the Arabic "arafa," meaning “to make known”—is a tax imposed by a government on goods that are imported or exported.    Economically, tariffs aim to protect domestic industries, generate government revenue, and influence trade policy. Tariffs can be specific (a fixed fee per unit) or ad valorem (a percentage of the item's value).   Historically, tariffs have served as a primary source of revenue and a means to protect domestic industries, as they make foreign products more expensive—encouraging consumers to purchase locally produced goods. The tools have a checkered history, famously bolstering US textiles, German steel, Japanese cars, South Korean technology, and more, while arguably contributing to major economic downturns like the Great Depression.  ... Read our full explainer on tariffs here.   Also, check out ...  > The role of tariffs in ancient Rome. (More) > Worldwide use of tariffs has trended downward for decades. (More) > One of America's first acts implemented tariffs. (More)

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?‍? Tariff chaos cycle

Illustration: Aïda Amer/Axios

The White House's habit of rolling out sweeping tariff announcements with little detail has left investors scrambling for information, Axios Markets author Madison Mills writes. Then, often days later, key clarifications or exemptions follow. Why it matters: Even countries with direct involvement in the deals have been caught off guard by White House statements. ? Zoom in: Japan thought it received a 15% tariff rate on all goods. But confusion ensued after the wording of an executive order unexpectedly indicated that the rate would be stacked on top of other previously announced levies. Japanese officials say the White House will correct the order, though it's unclear when that will happen. There was also a dust-up last week after reports that gold bars from Switzerland would be tariffed pushed U.S. gold prices to a record high. The White House stepped in to clarify: Expect an order that'll make the situation clear later. ? How it works: The White House issues a broad tariff announcement, without specifics and very rarely in writing. Investors, executives and policymakers scramble to clarify the impact on their sector. Panic ensues, and investors move money around. The White House clarifies the original tariff announcement. Market reactions ease.

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One-stop shopping

Americans started their back-to-school shopping earlier this year, worried that tariffs would raise prices. Families looking for deals on sneakers and laptops are finding them in a less traditional place — and at a fraction of the cost of major retailers.

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? Companies start to buckle under tariffs

Illustration: Sarah Grillo/Axios

The corporate price dam is cracking — companies are raising them, or signaling that increases are coming, to absorb some of the costs of the Trump administration's tariffs, Axios' Emily Peck and Joann Muller write. Why it matters: Americans are already under strain from rapidly rising prices during the Biden administration. Another bout of hot inflation — at a time when the labor market is slowing down — will hurt. ?️ The big picture: President Trump's announcement of steep tariffs in April triggered widespread worries of higher prices. But the process took time. There were delays and back-and-forth between the White House and other countries over rates. Companies, fearful that high prices could spook their customers, held the line in the meantime. They stockpiled goods before tariffs kicked in. Now reality is biting. At the beginning of the month, the U.S. started levying tariffs of about 15% on dozens of countries. That was on top of tariffs of 30% on goods from China. Zoom in: Home Depot had been able to maintain prices on imported products because they'd stockpiled before tariffs took effect. But now, the company expects "modest price movement in some categories" (corporate speak for price increases), an executive said on a call with investors yesterday. Last month, Procter & Gamble, maker of toothpaste, laundry detergent, etc., said that it would raise prices in August on about a quarter of its products as a result of tariffs. ? What to watch: The auto industry could be next. New vehicle prices have been mostly flat as automakers have eaten the cost of tariffs.

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? Value wars are back

Illustration: Sarah Grillo/Axios

Parts of corporate America are swallowing margins to keep people spending, Axios' Kelly Tyko and Nathan Bomey write. Why it matters: The "value wars" are back even as tariffs threaten to push broader prices higher and cash-strapped households pull back. Chains like McDonald's, Target, Kohl's and Pizza Hut are slashing prices on some items, expanding deals and leaning on subsidies — early proof that brands are willing to trade profit for traffic. Keep reading.   ? Tariff-driven price hikes are starting to shape customer behavior, Walmart CEO Doug McMillon said today, especially among "middle- and lower-income households." Go deeper.

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What shoppers can do to limit charges once the US ends a tariff exemption for goods under $800

NEW YORK (AP) — U.S. consumers have gotten used to shopping the world without paying customs duties on the international packages they receive from big e-commerce companies like Shein and Temu, specialty shops and businesses that sell goods through online marketplaces like Amazon, Etsy and eBay.

https://apnews.com/article/de-minimis-exemption-ends-august-29-edc26b9f0d7935ad7978c7eba5e3967c?

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? "De minimis" is big for small business

A USPS distribution center in Opa-locka, Florida. Photo: Joe Raedle/Getty Images Tariffs on small packages from around the world went into effect early this morning, with the end of the "de minimis" exemption on postal shipments to the U.S. worth less than $800. Why it matters: Dozens of national postal services have stopped shipping to the U.S. altogether, because they say the government's new trade regime is simply too hard to decipher. Even once that's all worked out, consumers could soon find themselves on the hook for billions of dollars in new fees, Axios managing editor for business Ben Berkowitz writes. ? How it works: From the Latin for a thing of "little importance," the de minimis exemption has historically meant that low-value shipments to the U.S. from other countries didn't face tariffs. The administration believes closing the loophole will generate $10 billion in tariff revenue a year. Keep reading.

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?️ Tariff pricing moves to the fine print

Illustration: Maura Kearns/Axios

Instead of putting "tariff" on the tag, some retailers are slipping costs into shipping, fees or relabeling, Axios' Kelly Tyko reports. Why it matters: Trade duties and new import rules are driving up retailer costs, especially in apparel, furniture, holiday décor and toys. Those costs are starting to be passed to consumers. Retailers are reshaping how prices show up, including raising shipping fees on items that face duties after the late-August end of the "de minimis" exemption on postal shipments to the U.S. worth less than $800. Vague charges like "processing" or "import fees" are appearing more often. Tips for spotting tariffs: ? Watch shipping. Sudden hikes or higher free-shipping thresholds are a red flag. ? Check for vague fees. "Handling," "processing" or "import" charges may mask tariff costs. ? Look at the rack. Sticker-over-sticker, missing tags, or conflicting signs often mean recent changes. ? Compare totals. Focus on the out-the-door number, not just the item price.

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? More tariff price hikes coming

Illustration: Lindsey Bailey/Axios Nearly half of big businesses raised prices in the last six months due to tariffs, and a large majority expect to do so in the coming months, Axios' Ben Berkowitz reports from a new KPMG survey. ? Tariff-driven inflation once looked like it would be a shock to the economy. Instead, it's become a slow burn with no signs of abating. ? By the numbers: 44% of businesses have already increased prices due to tariffs, per the September survey of 300 executives at U.S. companies with over $1 billion in annual revenue. Over the next six months, about 40% say they will raise prices as much as 5%. Around 30% say they plan to raise prices 6-15%. ? Those price increases are helping with — but not eliminating — companies' margin pains as their costs rise. ?‍⚖️ What's next: The Supreme Court is scheduled to hear a challenge to President Trump's tariff authority in early November. Go deeper.