The latest research from the Federal Reserve Bank of New York shows that American businesses and consumers bore nearly 90% of the tariff costs in the first 11 months of 2025, undermining Trump's claim that "foreign companies would pay." The report states that in the first eight months of the year, about 94% of the tariff costs were passed on to domestic entities, 92% in September-October, and 86% in November, indicating a slight increase in the share of foreign exporters bearing the cost at year-end. The study is based on customs data and does not specify the exact proportion of cost sharing between businesses and consumers. In 2025, the average import tariff rate in the United States rose from 2.6% to 13%. Despite the significant increase in tariffs, inflation remained relatively moderate. The White House responded that although the average tariff rate increased nearly sevenfold over the past year, inflation has declined and corporate profits have risen, indicating that the government's tax cuts, deregulation, and energy policies are driving growth. At the same time, the Supreme Court is about to rule on the president's authority to impose tariffs, and some Republican lawmakers also support legislation to repeal tariff measures against Canada, showing multiple pressures facing the tariff policy domestically.
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Original article: toutiao.com/article/1856995395322315/
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