The majority of tariff costs are borne by US consumers and corporations
According to a report, European companies are also seeing a decline in exports. But US consumers and businesses are suffering the most from tariffs imposed by US President Donald Trump’s administration.
Between January and November of 2025, US tariffs increased from 3% to 18%. According to a report, European companies are also seeing a decline in exports. But US consumers and businesses are suffering the most from tariffs imposed by US President Donald Trump’s administration.
«The costs of the tariffs are falling primarily on US businesses and consumers. With only 5% of the costs being borne by foreign companies,» according to a report by economists at the European Central Bank (ECB).
Between January and November of 2025, US tariffs increased from 3% to 18%.
In a sidebar of the next economic bulletin, which was released on Monday, ECB analysts note that trading partners like China, Canada, Mexico, and the European Union (EU). Have different levels of pricing and export quantity adjustments.
Only a small portion of the expenses related to the tariff hike are borne by businesses that export to the United States.
Exporters only bear a minor portion of the 10% tariff hike because it only results in a 9.5% price rise.
Tariffs, however, have a big effect on import quantities. In a sidebar of the next economic bulletin, which was released on Monday, ECB analysts note that trading partners like China, Canada, Mexico, and the European Union (EU) have different levels of pricing and export quantity adjustments.
