https://www.forbes.com/sites/alisondurkee/2024/08/19/will-trumps-tariffs-raise-prices-what-to-know-as-kamala-harris-slams-trump-tax/Former President Donald Trump doubled down on his plan to raise tariffs on imported goods over the weekend after Vice President Kamala Harris slammed the plan as a “Trump tax” that would raise prices—echoing the views of many economists, who believe Trump’s plan would burden everyday consumers even as the ex-president has claimed otherwise.
Trump has proposed raising tariffs—or taxes on imported goods that the businesses importing them pay the U.S. government—if he’s reelected, doubling down on his yearslong focus on tariffs, which he said in a speech Saturday would punish other countries that are “ripping us off and stealing our jobs.”
While he has not yet committed to a single policy, the ex-president has typically proposed raising tariffs by 10%, or by 60% on goods imported from China, up from approximately 1% and 11% now, respectively, according to data from research firm Wolfe Research cited by the Wall Street Journal.
Harris slammed Trump’s plan in a speech on Friday, saying it was “in effect, a national sales tax on everyday products and basic necessities” and declaring it a “Trump tax” on basic goods—causing the ex-president to reinforce his commitment to the tariff policy over the weekend.
Most experts say tariffs raise prices for consumers: The cost of tariffs can be absorbed by some combination of U.S. businesses that import goods, the customers who purchase them and foreign businesses that export them—which might lower their prices to make up for the tariffs—but the right-leaning Tax Foundation found previous tariffs levied during Trump’s first term were paid by U.S. businesses and consumers.
