FOX Business correspondent Jerry Willis analyzes retail sales on “The Big Money Show.”
Matthew Shea, CEO of the National Retail Federation (NRF), said shoppers would expect to see higher prices on a variety of products if President-elect Donald Trump's proposed U.S. import tariffs go into effect. warned that they may face
“Imposing flat tariffs on consumer goods and other non-strategic imports is tantamount to a tax on American households,” Hsieh said in a statement to FOX Business. It will cause inflation and price increases and result in job losses. ”
The NRF, the largest U.S. retail trade group, found in a recent study that President-elect Donald Trump's proposed new tariffs could cost U.S. consumers between $46 billion and $78 billion annually in purchasing power. I estimated it.
FOX Business has reached out to the Trump campaign for comment.
Inflation rate rose 2.4% in September, higher than expected
Shoppers carry bags at Polaris Fashion Place mall during Black Friday, Friday, November 24, 2023, in Columbus, Ohio, USA. (Matthew Hatcher/Bloomberg via Getty Images/Getty Images)
The proposal would impose a flat 10-20% tariff on all foreign imports, with an additional 60-100% tariff imposed on imports from China in particular. Six categories of products are affected: apparel, toys, furniture, home appliances, footwear, and travel goods.
The NRF said that while some U.S. manufacturers may benefit from tariffs, the gains to U.S. producers and the Treasury will not outweigh the losses to consumers overall. The group stressed that low-income households will be hit particularly hard.
Soppers and people look at clothes as they walk around Twelve Oaks Mall in Novi, Michigan on November 24, 2023. (Emily Elkonin/Getty Images)/Getty Images)
Using a $40 toaster oven as an example, the trade group estimated that the proposed tariffs would increase the cost of the product by $48 to $52. NRF also said $50 athletic shoes will jump to $59 to $64.
Overall, consumers will have to pay $13.9 billion to $24 billion more for apparel, $8.8 billion to $14.2 billion more for toys, and $8.5 billion to $13.1 billion more for furniture, according to NRF research. It turns out. According to the NRF, people will have to pay an additional $6.4 billion to $10.9 billion for household appliances, $6.4 billion to $10.7 billion for footwear, and $2.2 billion to $3.9 billion for travel goods.
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Still, Shea said the industry is ready to work with the incoming administration and lawmakers to enact tax, trade and regulatory policies that will “improve America's competitiveness, increase domestic investment and create jobs.” said.
Housing market likely to be most affected by lower mortgage rates
Hsieh said effective trade policies can make the United States more competitive in research, development and innovation. It would also help protect infrastructure and improve living conditions for Americans, he added.
