Goldman Sachs: American consumers may bear 67% of the tariff costs

Jin10 data, August 11 - Research from Goldman Sachs shows that so far, U.S. companies have borne most of the costs from Trump’s tariffs, but this burden will increasingly shift to consumers. Analysts at Goldman Sachs, including Jan Hatzius, wrote in a report that as of June, U.S. consumers have borne about 22% of the tariff costs, but if recent tariffs follow previous taxation patterns, their share will rise to 67%. So far, U.S. companies have borne about 64% of the tariff costs, but their share will fall to below 10% in the future. As of June, foreign exporters have borne about 14% of the tariff costs, and their share could rise to 25% in the future. In summary, U.S. inflation rates will rise for the remainder of the year. Goldman Sachs predicts that based on an assumption of a potential inflation rate of 2.4% excluding tariff effects, the year-on-year growth rate of core personal consumption expenditures (PCE) will reach 3.2% in December.