A new report released by the non-partisan Tax Foundation calls Trump’s tariff tax hike the “largest tax hike since 1982” and shows the average U.S. household will pay $2,100 more each year for everyday goods and services due to Trump’s tariffs.
Trump promised to lower taxes and raise wages for Americans. Instead, he’s issuing the largest tax hike in four decades, taking money directly out of the pockets of families and making it harder for them to afford necessities.
A 10% universal tariff means Americans will pay more for everything from groceries to household appliances, both large and small. Imported goods, including essentials like auto parts, clothing, and food, will see price hikes as businesses pass the costs onto consumers.
Raising prices isn’t the only trick large corporations will pull out to navigate the tariffs. They’ll find solutions at the expense of workers to stay in business, like cutting wages, freezing hiring, or even laying off workers. It’s not hypothetical, it’s already happening. Stellantis NV, producer of Ram trucks and Jeeps, announced it was laying off 900 workers at five U.S. facilities after tariffs were announced. In addition, the Whirlpool Corporation announced it is laying off nearly a third of the company’s Iowa workforce.
Small businesses on Main Street don’t have the same flexibility as large corporations. Locally owned restaurants like Big Mama’s Kitchen & Catering in Nebraska fear they’ll have to shut down if food prices rise to unaffordable levels. “I’m concerned as to whether we’ll be able to survive this,” owner Gladys Harrison told reporters.
Others in the small business community, like Michael Cervantes, owner of the Banks Alehouse in Alaska, are concerned about the ripple effect of the tariffs. Cervantes says getting goods from Mexico will cost him more and significantly reduce his bottom line, telling reporters, “This is one more piece [Trump] is taking away from us.”
“Trump is slapping a new tax on goods that every American family will be forced to pay. Billionaires like Donald Trump may have an extra $2,100 lying around, but the average American household, which spends most of its income on necessities, doesn’t have thousands to spare for Trump’s tax hike. Middle-class Americans will feel the pain of higher costs immediately,” said American Bridge 21st Century spokesperson Brandon Weathersby.
Published: Apr 4, 2025