New tariffs imposed by President Trump have raised the U.S. tariff level to its highest since 1933, averaging 18.6%. While companies initially absorbed costs, price increases for consumers are expected, particularly in clothing and textiles. The Yale Budget Lab estimates an average household cost of $2,400 this year. Inflation will rise, though likely less than in 2022. The job market may slow, and economic growth will decrease, although a recession is not widely predicted. The overall impact will be felt across businesses and households.

Prepared by Christopher Adams and reviewed by editorial team.