A Year On, Trump’s Broad Tariffs Lift Prices, Cut Factory Jobs and Face Supreme Court Rebuke
NPR reports that one year after President Trump imposed double‑digit tariffs on virtually all U.S. imports on April 2, 2025 — a day he dubbed "Liberation Day" — the promised manufacturing boom and lower prices have not materialized, while a recent Supreme Court ruling has forced the administration to unwind a large chunk of the policy. Tariff collections in the first five months of the current fiscal year hit $151 billion, nearly four times the prior year, but U.S. Customs now expects to refund about $166 billion after the Court found Trump exceeded his authority on some levies. Manufacturing has been in a slump, with U.S. factories employing 89,000 fewer workers in February 2026 than when the worldwide tariffs took effect, and official data show foreign direct investment actually slipped to $288 billion last year, below the 10‑year average despite Trump’s claims of a surge. Inflation has cooled from 2022 peaks but remains at 2.4% as of February, with Fed Chair Jerome Powell saying elevated goods inflation is being “boosted by the effects of tariffs,” just as the Iran war threatens to push energy and overall prices higher. Trade flows have not flipped as promised either: in 2025 Americans imported roughly $3.4 trillion in goods (up 4% from 2024) while exporting $2.2 trillion (up 6%), leaving the goods trade deficit slightly larger at about $1.24 trillion.
📌 Key Facts
- President Trump’s across‑the‑board import tariffs took effect April 2, 2025, and were pitched as a way to lower prices and bring factory jobs back to the U.S.
- In the first five months of the current fiscal year, the U.S. collected $151 billion in tariffs, but a Supreme Court ruling six weeks ago held parts of the program unlawful, triggering plans to refund about $166 billion to importers.
- U.S. manufacturing employment is down about 89,000 jobs since the tariffs began, 2025 foreign direct investment totaled $288 billion (slightly below the prior year and 10‑year average), and February inflation was 2.4%, with Jerome Powell explicitly linking elevated goods inflation partly to tariffs.
- In 2025, U.S. goods imports rose 4% to $3.4 trillion while goods exports rose 6% to $2.2 trillion, increasing the goods trade deficit about 2% to roughly $1.24 trillion.
📊 Relevant Data
In 2025, White workers comprised 77.9% of the U.S. manufacturing workforce (compared to approximately 59% of the U.S. population being non-Hispanic White), Black or African American workers 10.6% (vs. 13.6% population), Asian workers 8.1% (vs. 6.1%), and Hispanic or Latino workers 18.7% (vs. 19.1%).
Employed people by detailed industry, sex, race, and Hispanic or Latino ethnicity — U.S. Bureau of Labor Statistics
Black and Latino households pay 13–18% more on average for energy per square foot of housing compared to White households, with disparities persisting after controlling for socio-economic factors such as income and urbanity.
Race, rates, and energy insecurity: exploring racial disparities in electricity costs and consumption in U.S. utility service areas — Scientific Reports (Nature)
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