Tariff costs to companies this year to hit $1.2 trillion, with consumers taking most of the hit, S&P says

[mahatmakanejeeves]

Source: CNBC

ECONOMY
Tariff costs to companies this year to hit $1.2 trillion, with consumers taking most of the hit, S&P says

PUBLISHED THU, OCT 16 2025 1:51 PM EDT * UPDATED 4 HOURS AGO

Jeff Cox
@JEFF.COX.7528

KEY POINTS
* President Donald Trump’s tariffs will cost global businesses upward of $1.2 trillion in 2025, with most of the cost being passed onto consumers, according to a new analysis from S&P Global.
* The firm says that just one-third will be borne by companies, with the rest falling on the shoulders of consumers, under conservative estimates.
* “While Americans may face a transition period from tariffs upending a broken status quo that has put America Last, the cost of tariffs will ultimately be borne by foreign exporters,” White House spokesman Kush Desai said in a statement.

President Donald Trump’s tariffs will cost global businesses upward of $1.2 trillion in 2025, with most of the cost being passed onto consumers, according to a new analysis from S&P Global.

In a white paper released Thursday, the firm said its estimate of additional expenses for companies is probably conservative. The price tag comes from information provided by some 15,000 sell-side analysts across 9,000 companies who contribute to S&P and its proprietary research indexes.

“The sources of this trillion-dollar squeeze are broad. Tariffs and trade barriers act as taxes on supply chains and divert cash to governments; logistics delays and freight costs compound the effect,” author Daniel Sandberg said in the report. “Collectively, these forces represent a systemic transfer of wealth from corporate profits to workers, suppliers, governments, and infrastructure investors.”

Trump in April slapped 10% tariffs on all goods entering the U.S. and listed individual “reciprocal” tariffs for dozens of other countries. Since then, the White House has entered a series of negotiations and agreements while also adding duties on a variety of individual items such as kitchen cabinets, autos and timber.

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Read more: https://www.cnbc.com/2025/10/16/tariff-costs-to-companies-this-year-to-hit-1point2-trillion-with-consumers-taking-most-of-the-hit-sp-says.html

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S&P Global. It's part of Antifa.

Hat tip, Joe.My.God.

https://www.joemygod.com/2025/10/analysis-tariffs-to-cost-consumers-1-2-trillion-in-2025/

Analysis: Tariffs To Cost Consumers $1.2 Trillion In 2025
October 16, 2025

[Irish_Dem]

1. So who is getting the $1.2 Trillion?

[bucolic_frolic]

2. Prices are going crazy

Tires are going up. So far about $10 since August. I can't judge lumber because I haven't looked at in years, but 1/4" ply interior, almost 3 cents a square inch.

[BlueWavePsych]

3. K&R

[Aussie105]

4. The impost of tariffs will be felt by consumers.

People and companies will put off projects that involve importation of materials, which I'm guessing is most of them.

Consumers will go on a 'go-slow', hoping the tariffs will not be permanent.

Inflation up, employment down. Heading for a low point in the economy.

Countries that export to the US will be hit by the consumer go-slow, but they will find other markets.

That estimated $1.2T 'windfall' to the US government, if based on old trade figures, will shrink majorly.
Simply because the trade figures will slump.

Wait until the stock market works out things are going downhill!

Way to close down a whole country and annoy your trading partners!
Well done, Mr Trump!