Permanent record
CBO projected Trump-era tariffs would raise consumer prices and reduce purchasing power
- Event date
- Category
- Economy, tariffs and household costs
- Posture:
- Nonpartisan projection — modeled contribution, not sole cause
The Congressional Budget Office projected that tariff changes implemented in 2025 would raise the personal-consumption-expenditures price index by about 0.8 percentage points at the end of 2026. CBO estimated foreign exporters would absorb 5% of tariff costs and that U.S. consumer prices would ultimately reflect the 95% borne domestically, while also projecting lower investment, output and employment than without the policy changes. These are modeled effects and causal contributions under stated assumptions, not a claim that tariffs caused every price increase.
- Cost of living
- Project 2025
Dated sources
- — Congressional Budget Office (Official nonpartisan budget and economic projection)
Correction status
No substantive correction recorded for this version.
Canonical citation
CBO projected Trump-era tariffs would raise consumer prices and reduce purchasing power. Donaldtrumpler.com. https://donaldtrumpler.com/records/2026-02-11-cbo-tariff-price-projection/
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