Today, the Trump administration blew by its own self-imposed July 9 deadline to lock in “90 deals in 90 days” and bring an end to Trump’s disruptive trade war.
Donald Trump convinced Americans he had an economic strategy to create an economic paradise complete with no inflation, cheaper groceries, record levels of manufacturing jobs, lower energy prices, and an end to the housing crisis by cutting the cost of a new home in half.
Just a few months into the year, Trump’s economic promises look more like bad theater than a strategy to improve people’s lives. Instead of prosperity, American business owners, workers, and families are navigating rising costs while the Trump economy circles the drain.
“Starting on day one, we will end inflation and make America affordable again.”
- An analysis conducted by the Peterson Institute for International Economics shows that under five different scenarios, Trump’s tariffs will result in slower U.S. economic growth over the next ten years and higher inflation this year.
- Trump’s tariffs disproportionately affect clothing and textiles, with Americans facing 37% higher shoe prices and 35% higher apparel prices in the short-run.
- In the long-run, tariffs raise the price of shoes and apparel by 18% and 17%, respectively.
- Tariffs have already made mattresses, toys, strollers, and big-ticket purchases that many families need more expensive.
- Consumers face an overall average effective tariff rate of 17.6%, the highest since 1934 — before most Americans were born — which will cost an average per household $2,300 this year.
- Walmart, the largest retailer in the country, called Trump’s tariffs “too high” and announced “higher tariffs will result in higher prices” at their stores beginning later this month.
- Athletic apparel giant Nike also announced it would raise prices.
- Mattel confirmed that the company would raise prices as tariffs increased the cost of production.
- Additionally, toy seller Hasbro confirmed cutting 3% of its global workforce to bring down costs and navigate Trump’s tariffs.
- According to the Bureau of Labor Statistics, toys, games, and playground gear had their biggest price jumps ever, spiking 2.2% in a single month between April and May.
“A vote for Trump means your groceries will be cheaper…”
- Recent Labor Department data showed grocery prices rose from April to May, and are up 2.2% in the past year. The same data showed that in May, fruits and vegetables, breakfast cereals, and frozen foods all rose in price, and eggs were still more than 40% more expensive than the previous year.
- The U.S. Bureau of Labor Statistics says beef prices are on the rise, with ground beef, steak, and round roast now costing 57 to 75 cents per pound more than last year. Overall, beef prices are expected to jump 6.6% this year.
- Expert analysis found that Trump’s tariffs cause food prices to rise nearly 3% in the short-run and stay 2.6% higher in the long-run. Fresh produce prices also get more expensive, skyrocketing by nearly 6% before stabilizing at 3.4%.
- A recent congressional report found the typical grocery trip for a summer cookout increased by a 12.7% annualized rate since Trump imposed massive tariffs.
“We will bring back our automaking industry to the record levels of 37 years ago, and we’ll be able to do it very quickly through tariffs…”
- Trump’s tariff announcement almost immediately prompted layoff announcements from carmaker Stellantis NV.
- New vehicle prices rose 2.5% in April after Trump’s tariff announcement.
- Ford increased prices on several models by up to $2,000, citing the impact of Trump’s tariffs on imported vehicles and vehicle parts from Mexico.
- Automakers are seeing fewer U.S. sales, with rates falling to 15 million in June, the slowest pace in the last year.
“My plan will cut energy prices in half, or more than that, within twelve months of taking office…”
- Experts forecast that U.S. electricity prices will continue to rise and outpace inflation through 2026.
- Trump signed the Republican spending bill into law, which ends most of the federal tax credits for low-carbon sources of electricity. Several studies have found that the bill would increase the average family’s energy bill by as much as $400.
“We will make housing much more affordable […] with the goal of cutting the cost of a new home in half.”
- A National Association of Home Builders survey from April found tariffs added an estimated $10,900 to the cost of building a new home.
- A study by NBC News found that tariffs raised the total cost of home building materials for a mid-range single-family home from $86,516 to $90,921, adding more than $4,000 to the total cost of a new build.
- Trump’s 50% tariff on copper imports is expected to make new housing construction projects cost more and price out many Americans from purchasing a new home.
Published: Jul 9, 2025