For retailers and consumers finally feeling some relief from inflation, President-elect Donald Trump's tariffs proposal introduces fresh uncertainty around how prices could change during his presidency, analysts said Wednesday.
Companies, retail trade groups and industry analysts have warned the move could fuel higher prices on a wide range of Americans' purchases such as sneakers and party supplies.
"The adoption of across-the-board tariffs on consumer goods and other non-strategic imports amounts to a tax on American families," National Retail Federation CEO Matthew Shay said in a statement Wednesday.
"Despite Trump's assertions to the contrary, tariffs are paid by the companies or entities importing goods and not by the countries themselves.
Over time, supply chains would adjust to this change in tariff policy but it would be "incredibly disruptive" in the short term, said Saunders.
Persons:
Donald, Trump, Matthew Shay, GlobalData, Neil Saunders, Saunders
Organizations:
NBC, China . Companies, Retail Federation
Locations:
China