President Donald Trump’s full suite of “Liberation Day” tariffs will take effect next week, raising the cost of everything from apparel to automobiles. Analysts project the tariffs could increase annual expenses for the average U.S. family by up to $2,400.
According to the Yale Budget Lab, short-term prices for shoes could spike by 39% and clothing by 37%. Over the long term, prices for both are expected to remain 17–18% higher. Some companies had delayed passing on costs, but many are now preparing to raise prices as tariffs become unavoidable.
The U.S. Chamber of Commerce warned this week that manufacturers, wholesalers, and retailers are paying more for imports, and are beginning to shift the burden onto consumers. “They are slowly beginning to raise the prices they charge their customers,” said Neil Bradley, a Chamber executive.
Countries with the highest imposed tariffs include Syria, Laos, and Myanmar at 40% or more. Brazil may face similar levels depending on final negotiations. However, Trump has struck tariff deals with roughly two-thirds of America’s key trading partners, with most receiving rates of 15% or less. The U.K. currently has the lowest rate at 10%. Tariff deadlines for Canada, Mexico, and China were extended as talks continue.
While the White House has signaled willingness to make additional deals, businesses are pushing back. Consumer Technology Association CEO Gary Shapiro warned that sudden shifts in tariff policy hurt U.S. competitiveness, particularly among small businesses. “American innovation thrives when markets are open,” he said, urging for a trade policy built on clarity and collaboration.
Meanwhile, legal challenges to Trump’s tariff authority are advancing. An 11-judge appellate court panel heard arguments Thursday, pressing both sides on whether the president can overhaul trade policy without congressional approval. A ruling is expected in the coming weeks.
Trump has defended the tariffs as necessary to restore U.S. manufacturing, reduce dependency on foreign labor, and pay down national debt. The administration argues the policy shifts the tax burden away from families and back onto foreign importers.
