New tariffs in the US are increasing costs for imported goods, affecting consumers and small businesses.

Key changes include a 145% customs duty on certain Chinese goods, a 10% tariff on most imports, and additional taxes on steel, aluminium, and low-value packages.

For example, Sandy Alonso from Florida paid nearly US$6,000 for a wheelchair from China, with US$3,500 due to tariffs.

Initially facing a 20% duty in March 2025, she was later charged the higher 145% rate.

Small businesses are also struggling with these changes. HiveTech Solutions, a Colorado startup, saw the cost of refrigerated containers rise from US$17,800 to over US$30,000, which they communicated to customers as being tariff-related.

Retailers like Jeri Cheraskin in New York are adjusting prices too. She noticed a 10% price increase on bananas from Costa Rica due to tariffs.

The ongoing tariff policies are creating uncertainty for both consumers and entrepreneurs.

Many business owners are concerned about the long-term impact on their suppliers and costs in the current trade environment.

🔗 Source: NPR

🧠 Food for thought

1️⃣ Current tariffs reach historically high levels not seen in nearly a century

The tariff increases described in the article represent an extraordinary economic event with few modern precedents.

Average effective U.S. tariff rates have surged to between 22.5% and 27%, the highest levels since 1909-1943 1, 2.

This dramatic increase parallels the infamous Smoot-Hawley tariffs of 1930, which economists widely believe exacerbated the Great Depression 3.

The current tariff landscape represents a fundamental shift from decades of relatively low tariff rates that have characterized the U.S. economy since World War II.

While Sandy Alonso’s 145% wheelchair tariff might seem extreme, it reflects the new reality where tariffs on Chinese goods have reached levels not experienced by American consumers in generations.