New data released today show that Trump’s tariffs are fueling inflation, harming the economy, and increasing prices for American families. Trump’s tariffs have the annual inflation rate well above the Federal Reserve’s target of 2%, which analysts have said adds nearly a full percentage point to inflation and will continue into 2026.
Several economic measures show Trump’s economy is trending towards stagflation, with growth remaining stunted and prices continuing to rise.
The Philadelphia Fed’s August manufacturing index showed general activity had plummeted from 15.9 to -0.3 from last month. In addition, this month, jobless claims rose to the highest level since June, and continuing claims climbed up to levels not seen since the height of the pandemic in November 2021.
“These numbers reflect what families already feel every day at the register. Trump’s tariff tax is a painful reality that households are struggling with each day,” said American Bridge 21st Century spokesperson Brandon Weathersby. “Meanwhile, Trump is busy pouring money into a luxury ballroom and other perks for his ultra-rich friends while rising prices and higher costs crush families. That’s not the relief that was promised by Trump and Republicans in Congress. While Trump gets upgrades, families are getting upcharged.”
Published: Aug 29, 2025 | Last Modified: Sep 3, 2025