Americans Still Paying 100% of Trump’s Tariffs

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As you may recall, economists who have studied Donald Trump’s tariffs have concluded that American consumers and firms are basically paying all of them. It’s just a big ol’ sales tax hidden slightly under the surface of products from China and elsewhere.

But that should change over time as importers adjust their supply chains and switch to other sources. By now, we should be seeing the effect of that and the prices borne by US consumers should be decreasing. A team of economists ran the numbers again to see where we are, and they concluded that—well, here’s the chart:

There’s been no change at all. American firms and consumers are still paying nearly 100 percent of the cost of the tariffs. The only exception, it turns out, is steel, where foreign manufacturers have lowered their prices in the face of increased competition.

So that’s that. Previous estimates that American households are paying nearly $1,000 per year in hidden tariff costs are still in effect. Have a nice new year.

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SIX TRUTHS

Reclaiming power from those who abuse it often starts with telling the truth. And in "This Is How Authoritarians Get Defeated," MoJo's Monika Bauerlein unpacks six truths to remember during the homestretch of an election where democracy, truth, and decency are on the line.

Truth #1: The chaos is the point.

Truth #2: Team Reality is bigger than it seems.

Truth #3: Facebook owns this.

Truth #4: When we go to work, we're in the fight.

Truth #5: It's about minority rule.

Truth #6: The only thing that can save us is…us.

Please take a moment to see how all these truths add up, because what happens in the weeks and months ahead will reverberate for at least a generation and we better be prepared.

And if you think journalism like Mother Jones'—that calls it like it is, that will never acquiesce to power, that looks where others don't—can help guide us through this historic, high-stakes moment, and you're able to right now, please help us reach our $350,000 goal by October 31 with a donation today. It's all hands on deck for democracy.

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