About two-thirds of the extra costs will be passed on to consumers.
Transcript:
CAROLINE WOODS: President Trump’s tariffs are packing a trillion-dollar punch.
According to new analysis from S&P Global Trump’s sweeping trade measures will cost global businesses more than $1.2 trillion in 2025 – and most of that will be passed on to consumers.
In a white paper out Thursday, S&P says the estimate – drawn from data on some 9,000 companies – is probably conservative. The report calls tariffs a “systemic transfer of wealth” from corporate profits to workers, governments, and infrastructure investors.
President Trump slapped a 10% tariff on all U.S. imports earlier this year, along with additional duties on items like cars, timber, and kitchen cabinets.
The White House insists foreign exporters will shoulder most of the cost – but S&P says two-thirds will ultimately fall on consumers.
S&P also points to the removal of the “de minimis” exemption on goods under $800 as the real turning point – a change that’s already rippling through shipping and earnings data.
Tariffs are reshaping global trade, corporate profits, and consumer prices – and the final bill could keep climbing.
Subscribe |
Earn. Live. Invest. |
TheStreet Pro |
#tariffs #presidenttrump #business
source
