President Trump quickly backtracked on most of his proposed “reciprocal tariffs” on Wednesday, except for those targeting China.
Trump declared on Truth Social that due to China’s “lack of respect” for global markets, he was raising tariffs on Chinese goods to 125%, effective immediately. Conversely, he cited that over 75 countries had contacted U.S. representatives to negotiate trade solutions, so he authorized a 90-day pause and a significantly reduced reciprocal tariff of 10%, also effective immediately.
The U.S. is the world’s top importer, bringing in over $328 billion worth of goods in February, according to . The most common imports include cars, computers, metals, petroleum, and telephones, according to . Electronics are also heavily imported from China.
Consumers began to up on food and other products after the tariffs were initially announced on April 2. Economists have largely warned about a and the potential increase in costs for American consumers. Even with Trump’s partial reversal, the high tariffs on Chinese goods are still expected to raise prices on many items. The possibility remains that higher tariffs on imports from other countries could be reinstated in three months, prompting some shoppers to buy ahead of time.
However, experts advise against panic. Felix Tintelnot, an economics professor at Duke University, notes that financial markets are signaling other risks, including a potential recession and future income loss. He suggests that aggressive spending now might not be the best strategy for everyone.
Here’s a breakdown of which items are likely to experience the most significant price increases due to Trump’s trade policies.
Automobiles
Trade between Canada and Mexico is currently being affected by tariffs on imported cars, auto parts, aluminum, and steel. (These tariffs are distinct from the “reciprocal tariffs” Trump imposed on other countries, from which Mexico and Canada were exempt.)
Economist Arthur Laffer’s analysis suggests that these tariffs could increase prices for some vehicles by over $4,700.
Brian Moody, executive editor of AutoTrader.com, recommends buying a new car that’s already on a dealer’s lot. “If you are already in the market for that, then speed that process up just a little.”
Moody explains that it’s hard to predict which brands will be most impacted. Many cars that people think of as “import brands” are actually made in the U.S. However, even vehicles built or assembled in the U.S. may use parts from overseas or neighboring countries, making them subject to tariffs.
Some automakers have informed customers they’ll maintain current prices, at least temporarily. confirmed they won’t increase car prices until at least June 2. BMW stated they’ll absorb tariff costs until May, . Toyota published a list of U.S.-made models, including the Highlander and Camry, . Ford announced a “From America, For America” campaign, offering buyers the same pricing discount as employees, starting April 3.
Moody emphasizes that consumers need to do their research to understand the situation. “People can just call their local dealer [and say,] ‘I really want an XYZ car. Do you have a bunch of those? Is there a price increase? What is the price?’”
Food
Food inflation remains a major concern for families. The USDA reports that food prices 23.6% between 2020 and 2024.
The play a crucial role in delivering food to consumers in the U.S., which some experts believe will prevent food prices from skyrocketing. Michael Swanson, Wells Fargo’s chief agricultural economist, notes that most of the calories consumed in the U.S. are produced domestically.
Import rates for livestock, feed grains, and oilseeds are low, . The U.S. primarily fruits, vegetables, or alcoholic beverages that cannot be produced domestically due to climate, seasonal limitations, or other factors.
Avocados, most of which come from Mexico (according to 2024 data), are exempt from tariffs because they fall under the USMCA agreement.
Imported wine, largely from France and Italy, could be affected. Swanson suggests experimenting with alternative products if there’s a specific wine or cheese you love. He adds that California wine producers would be happy for consumers to consider their products.
Electronics
Cellphones, computers, TVs, and other electronics are primarily imported from China, which faces the highest tariff rates from the U.S. Prices for these items are expected to rise. Tintelnot suggests some companies might shift production to facilities in countries other than China to avoid some tariffs. He emphasizes that a 125% tariff is substantial, potentially making imports from that country nearly impossible, leading to products being sourced from the next best production location.
Clothes
The U.S. is the world’s leading single-country apparel importer, .
According to from the American Apparel & Footwear Association, the U.S. imports nearly all its clothes and shoes. With over half of apparel imports coming from China, clothing prices are likely to increase. However, proponents of “slow fashion,” which emphasizes higher quality and more durable materials, see tariffs as an opportunity for Americans to explore secondhand shopping, which can be more environmentally and budget-friendly.