Oct. 13 (UPI) -- U.S. consumers will likely pay for more than half the cost of tariffs this year through higher prices, according to a new Goldman Sachs analysis.
Goldman Sachs economists predicted Sunday that U.S. companies will shoulder 22% of the tariffs, implemented by President Donald Trump six months ago, with foreign exporters taking an 18% hit by cutting prices.
"If recently implemented and future tariffs have the same eventual impact on prices as the tariffs implemented earlier this year, then U.S. consumers would eventually absorb 55% of tariff costs," according to economists.
"At the moment, however, U.S. businesses are likely bearing a larger share of the costs because some tariffs have just gone into effect and it takes time to raise prices on consumers and negotiate lower import prices with foreign suppliers."
Related
