Trump's 'chaotic' tariff policies are 'beginning to bite': editorial
President Donald Trump's tariff policies are starting to show up in monthly inflation data, and that could be bad news for his economic policies, according to a new editorial.
The Labor Department's latest jobs report showed that hiring slowed in industries that rely on immigrant labor. Meanwhile, the latest inflation data showed that prices increased for imports like furniture and clothing. Together, those impacts amount to a "little imprint" on the economic data, but the conservative Wall Street Journal editorial board worries that the impacts could increase in the months to come.
"A chaotic rollout of tariffs is starting to filter through to price tags on store shelves," the editorial board wrote on Tuesday.
Tariffs have become one of Trump's go-to tactics to negotiate trade deals with foreign countries. He's threatened to impose them on countries ranging from long-standing U.S. trade partners like the European Union and Japan to smaller countries like Moldova and Algeria.
While Trump has claimed some trade deal victories, the tariffs appear to be having a greater impact at home. According to the editorial, overall inflation is not expected to decline to April’s 2.3% rate "between now and the end of 2027."
For comparison, the last inflation report measured an overall inflation rate of 2.7%.
Omair Sharif, founder and president of Inflation Insights, told the editorial board that the data shows Trump's tariffs "are beginning to bite."
"Still, the question is whether all that will hold—and, if it doesn’t, how long the world’s largest economy can keep powering ahead," the editorial board wrote.