The Impact of Trump’s Tariffs on Consumers

President Donald Trump has described tariffs as "the most beautiful word in the dictionary." Consumers faced with steep price increases while nervously watching their 401(k) plans (as stock markets plummet) might disagree. One thing is for sure: the impact of Trump’s tariffs will be felt in both international markets and much closer to home as prices of imported goods rise accordingly and might potentially affect consumer savings and life itself. 

At PissedConsumer.com, we’ve seen that Trump's tariffs are becoming one of the consumer trends with more users sharing their feedback on this issue. That's why we decided to dive into this topic and interview different finance, business, and supply chain experts to provide detailed information on how tariffs work, what products might be affected, and how they impact us as consumers.

Key Insights

• Tariffs ranging from 10% to 49% have been imposed on global imports to the US market.
• The additional cost of tariffs is picked up by US businesses and passed onto consumers through higher-priced goods.
• Retaliatory tariffs from foreign countries may impact US exports and lead to a growing trade war.

What Are Tariffs?

Tariffs are taxes imposed by a government on imported goods. They are typically used to influence trade policy with foreign countries and/or protect local businesses by making imported goods more expensive. For example, if the US places a 25% tariff on imported vehicles, those vehicles become 25% more expensive for US businesses to buy. This cost is often passed on to the consumer, who may be encouraged to buy from domestic manufacturers.

A Tax On Consumers

While tariffs have been levied at different rates for different countries (a base rate of 10% for countries like the UK, all the way up to 49% for Cambodia), US consumers will ultimately be picking up the bill.

Highlighting how tariffs impact consumers, Michael Podolsky, a co-founder and CEO of PissedConsumer.com, said:

Tariffs essentially act as an added tax, hitting hardest those who can least afford it—middle- and lower-income Americans. Consumers relying on paycheck-to-paycheck budgets may immediately feel the impact of price hikes on electronics, furniture, and imported essentials. Bringing manufacturing back into America to start producing domestically will take time, possibly years, and this is also very important to understand.

Patrick Penfield, Ph.D., Professor of Supply Chain Practice at Martin J. Whitman School of Management, Syracuse University, also believes that

Consumers will be SHOCKED by how much things are going to cost. This is what I anticipate happening with tariff costs: if they remain, companies impacted by the tariffs will pass the tariff costs onto consumers (like what we saw during COVID) and EVERYTHING will be going up in price…People will have less money/credit to spend and will cut back on discretionary items/services such as buying coffee, going out to dinner, subscribing to streaming services, etc.

What Products Are Most Impacted by Tariffs?

Trump's tariffs will impact the price of anything manufactured or produced outside the US. Tariffs will also increase the cost of homegrown products that rely on global supply chains for raw materials and components.

In the opinion of a Finance Professor at Georgetown University, James J. Angel : 

Trump's tariffs are a huge sales tax increase on the American public. Details are still unclear as our Dealmaker-in-Chief tries to extract concessions from other countries in exchange for tariff reductions. However, it is clear that there will be significant tariffs in a number of areas. Just look at the labels of anything you buy and see where it is made. If it is made outside the US, it will cost you more.

According to news reports on CNN, with almost every industry affected, US consumers can expect to pay upwards of $2,100 more for goods this year due to tariff-related price increases. 

Here are some products where US consumers are most likely to feel the pinch.

Electronics

Consumer electronics are particularly vulnerable to price increases due to the industry's reliance on Chinese manufacturing. Even famous US brands like Apple (most iPhone devices are manufactured in China, where tariffs are set at 34% and with the threat of increases) will be impacted. According to Reuters, if Apple passes on the cost of tariffs to consumers, it could raise the price of its lowest, the Apple iPhone 16, from $799 to as much as $1,142.

Clothing and footwear

The apparel industry is another area exposed to high tariffs due to its reliance on manufacturing bases across Asian markets. As Professor James J. Angel says: 

We import a lot of clothing, and the tariffs will be passed right onto us, the consumers.

When purchasing online, the additional costs associated with tariffs can come as a shock, as highlighted in this American Tall review on PissedConsumer.com, "...The UPS delivery man said it was because of tariffs I dont know where your products are coming from and Im not paying $62 for a $33 Top and pants."

Automobiles and car parts

With a 25% tariff on all foreign-built cars, it could be argued that the US car industry will be the biggest benefactor of Trump’s tariffs. However, the complexities of global supply chains and the fact that car manufacturers typically assemble parts supplied by global partners suggest that prices will increase across the board.

Groceries

Lowering the price of groceries was a key election pledge - but with the US relying heavily on imported food, particularly from its neighbors in Canada and Mexico, consumers are rightly concerned about how tariffs affect grocery prices. Professor James J. Angel shares this concern:

Imported items like coffee and olive oil will go up. Even things that seem like they are made domestically, like candy bars, often contain ingredients made from imports like cocoa beans. This will get a lot worse in our winter when we import out-of-season fruits like blueberries from the southern hemisphere where they are in-season.

Consumers on PissedConsumer.com also highlight worries that certain groceries will no longer be available on American supermarket shelves like in one of the Trader Joe's reviews, "As a matter of principal, I will continue to buy Canadian and Mexican regardless a hike in price but will Trader Joe's?"

Appliances and home goods

Due to international supply chains, big-ticket items like refrigerators, ovens, washing machines, and TVs are all exposed to price increases. According to AP, this has resulted in consumers rushing to buy new appliances before the impact of tariffs hits. Meanwhile, CNBC reports that many US companies will run out of stock because they cannot afford to pay the additional costs of the tariffs.

What Else Should You Expect?

In the short to mid-term, Trump's tariffs will have a wide-reaching impact on inflation, jobs, trade relationships, and how consumers spend their money. However, it's crucial to also consider the potential long-term economic impacts. While tariffs may appear to protect certain US industries and jobs (like auto manufacturing), these industries are also exposed to higher costs in the global supply chain and labor costs in the US. 

Trump’s tariffs could also lead to a shortage of certain products as Professor Patrick Penfield believes:

It will be due to shipping issues at customs (customs will be struggling to determine the correct tariff costs based on what it is and where it’s coming) and then you’ll start to see less variety of products, because foreign companies will stop selling products in the U.S. because of the high cost of doing business in this country.

US exporters may also struggle as they face retaliatory tariffs from foreign markets in a growing trade war, making overseas buyers less likely to buy American products. This was highlighted in one of the recent Wayfair reviews, where a consumer writes: "I have been a Wayfair customer for several years and have made many purchases. However, due to the 25% tariffs recently imposed by the Trump government, I will no longer support American companies."

How Will Trump’s Tariffs Impact You?

Are you worried about how tariffs affect prices and impact consumer trends? Give your thoughts on potentially the biggest consumer news of the year by posting an online review of your consumer issues on PissedConsumer.com or in the comment section below.

Update: On Wednesday, April 9, 2025, President Donald Trump announced a 90-day pause on tariffs exceeding 10% for all trade partners, while increasing tariffs on Chinese imports from 104% to 125%.