What Will Get More Expensive in the U.S. Under Trump’s Tariffs?

For the first time since Donald Trump’s return to the Oval Office, the question is no longer if tariffs will drive up prices—but when.

On Wednesday (April 2), President Trump unleashed a wave of tariffs against America’s trading partners, setting the stage for price hikes that will hit both consumers and businesses hard.

If Trump follows through with his plans—and he insists there’s no room for negotiation—only certain products from Mexico and Canada might escape tariffs. Otherwise, all imported goods will face a minimum 10% tariff, with significantly higher rates for the 60 nations the administration deems the “worst offenders” in trade policy.

At the top of this list? China. On April 9, the U.S. will slap a 54% tariff on nearly all Chinese imports. And if Trump moves forward with an additional 25% penalty on any nation purchasing Venezuelan oil—China included—the total tariffs could soar to 79%.

The pain won’t stop there. Starting May 2, even low-cost packages (valued under $800) arriving from China and Hong Kong—including those from online retailers like Shein, Temu, and AliExpress—will face the same 54% import tax.

According to the Tax Foundation, an independent policy group, the average American household will shell out an extra $2,100 per year on goods because of these tariffs.

In 2023, the U.S. imported $439 billion in goods from China, making it America’s second-largest source of imports after Mexico. Among the other “worst offenders” that Washington heavily relies on are Vietnam, which will face a 46% tariff, and Taiwan, which will be hit with a 32% tariff. Vietnam ranked as the sixth-largest source of U.S. imports last year, while Taiwan was the eighth, per U.S. Census Bureau data.

Since tariffs function as an import tax, American businesses will take the initial hit, paying extra when these goods enter the country. While some firms might absorb part of the cost, many will have no choice but to pass it down to consumers. Even if production shifts to the U.S.—where tariffs are “zero,” as Trump often boasts—domestic manufacturing is more expensive, inevitably leading to higher prices.

What Will Get More Expensive?

Laptops, Tablets & Electronics

China, Vietnam, and Taiwan were the three largest suppliers of laptops and tablets to the U.S. last year, shipping $47.2 billion worth of goods, according to federal trade data.

Expect price increases on virtually all consumer electronics, including smartphones, computer monitors, and Wi-Fi routers. With the U.S. heavily dependent on Taiwan for semiconductors, the cost of laptops, cars, appliances, medical devices, and LED lights will also rise.

Trump has proposed a separate 25% tariff on semiconductors, but the White House clarified that these won’t be stacked onto the new reciprocal tariffs.

Ed Brzytwa, VP of international trade at the Consumer Technology Association, warns that once current retail inventory runs out—likely within three to four months—shoppers will feel the pinch, just in time for back-to-school season and holiday shopping.

Shoes & Clothing

If you check the tags on your clothing, chances are you’ll see China or Vietnam printed there. Together, the two nations sent $14 billion worth of apparel to the U.S. last year, making them the top two sources of imported clothing.

Footwear will take a major hit as well. China and Vietnam accounted for $18.5 billion—nearly 70% of all shoes imported into the U.S.

Other major clothing suppliers—Bangladesh, India, Indonesia, and Cambodia—are also facing hefty tariffs ranging from 26% to 49%.

Toys

Brace for higher toy prices, parents.

Last year, 77% of all toys sold in the U.S. were manufactured in China, according to the Toy Association. The combined value of toy imports from China and Vietnam reached $15 billion.

Greg Ahearn, President & CEO of the Toy Association, warns that the industry simply isn’t structured to absorb a 54% tariff. Instead, costs will trickle down to consumers, with at least a 30% price hike on Chinese-made toys.

While price increases might take a few months to kick in, they’ll likely hit just in time for the back-to-school shopping season and the holidays—when toy sales typically surge.

Bottom Line? Prices Are Rising—Fast.

These tariffs will have sweeping effects across multiple industries, hitting consumers right where it hurts—their wallets. With no sign of negotiation on the horizon, Americans should brace for a costly year ahead.