- Goldman Sachs estimates U.S. consumers now shoulder two-thirds of President Trump’s new tariff costs, with more companies planning to pass them on in the future and foreign exporters refusing to “eat” the price hikes. The bank expects the measures to lift core PCE inflation (personal consumption expenditures) to 3.2% by year-end, adding pressure to the Fed’s 2% target.
When President Trump announced his tariff agenda, he said it would be foreign companies and consumers that would “eat” the price hikes. That’s a take that may be proved optimistic at best and misguided at worst.
