Two thirds of these price hikes stem from pricier imports that pass through to consumers quickly, while the remaining third comes from US made goods as producers face higher input costs and less import competition. This domestic filtration process typically takes 6 to 12 months. The New York Fed notes that while the inflationary effect of tariffs has peaked, the general price level remains elevated.
Tuesday, October 20, 2026
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NY Fed Finds Tariffs Added 2.9 pp to Goods Price Inflation
US Markets14 days ago
US goods prices would have seen a slight decline by February 2026 without the impact of trade duties, based on a study by Mary Amiti, Sebastian Heise and David E. Weinstein. Tariffs instead contributed 2.9 pp to goods price inflation by that date, with about 25% of every percentage point in higher rates reaching consumers within a year. A 10% across-the-board tariff leads to a 2.6% increase in consumer goods prices after 12 months.
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