A sweeping new round of tariffs announced by former President Donald Trump is set to take effect on August 1, 2025—and economists warn that the move could place significant strain on U.S. households.
Branded by Trump as “Liberation Day,” the tariffs were originally introduced in April, sparking volatility in financial markets due to uncertainty surrounding their implementation. While the White House has since postponed the start date to August 1, officials note there remains a “possibility of further extensions—or delays—in the future.”
Who Really Pays for Tariffs?
Despite political messaging that tariffs penalize foreign countries, the real cost is typically borne by U.S. importers, who then pass those costs on to consumers in the form of higher prices. This means everyday Americans will likely feel the effects at the checkout line—especially on imported goods.
With price hikes looming, financial experts are advising consumers to consider purchasing certain items before the tariffs go into effect. Here’s a look at the top product categories that could see the steepest increases:
1. Technology: Laptops, Smartphones, TVs
Even though final details on tariffs affecting consumer electronics are still in flux, uncertainty alone has prompted early pricing shifts.
“There’s a lot of uncertainty around whether tech products will face major price hikes,” reports Forbes. “But to avoid potential increases, now is a smart time to make big-ticket purchases.”
2. Furniture
With over 75% of furniture sold in the U.S. manufactured overseas, the tariffs are expected to drive up prices on nearly all furniture items—including sofas, tables, chairs, and office desks.
This category could see some of the most widespread price increases due to global supply chain dependencies, according to the Alliance for American Manufacturing.
3. Textiles and Apparel
From clothing to household linens, textile products are also expected to be hit hard.
Items flagged by Forbes include:
- Men’s shorts
- Crossbody bags
- Bath towels
With back-to-school and holiday shopping seasons around the corner, these tariffs could come at a particularly inconvenient time for consumers.
4. Food and Groceries
Perhaps the most impactful category is food. In 2023 alone, the U.S. imported over $45 billion worth of agricultural goods from Mexico.
New tariffs will likely translate into higher prices at grocery stores, especially on fresh produce, packaged snacks, and other staple goods.
5. Home Appliances
Appliances like washing machines, refrigerators, and dishwashers have already been impacted by earlier steel tariffs. With the new measures, prices are expected to rise even further.
If you’ve been planning to upgrade any household appliances, experts say it’s best to do so before August 1 to avoid additional costs.
Bottom Line
These tariffs may not take effect until August, but retailers and suppliers are already reacting to the policy shift. That means prices could start rising in anticipation of the new trade rules.
If you’re in the market for tech gadgets, furniture, clothing, groceries, or appliances, consider making those purchases soon—before they become significantly more expensive for the average household.
