Trump's tariff strategy leaves US households facing higher costs despite Supreme Court limits
The US Supreme Court has left open further tariff options for former President Donald Trump. While a recent ruling limited some of his trade powers, economists warn that additional levies could still raise costs for American households. Reports show tariffs already added $1,000 to the average family's expenses in 2025.
In February 2026, the Trump administration tied tariff exemptions for tech firms like Amazon, Google, and Microsoft to conditions such as AI data centre expansions and TSMC's US investments. Similar waivers were granted for food imports, while lumber tariff increases were delayed to ease economic pressure. A one-month pause on 25% auto tariffs for USMCA-compliant vehicles from Mexico and Canada also took effect in March, with partial relief based on US-made content.
The Supreme Court noted that Trump retains other authorities, including those used to impose steep tariffs on steel, aluminium, and other imports. Stephanie Roth, chief economist at Wolfe Research, pointed out that further tariff levers remain available. One such measure is a proposed 10% global import tax under Section 122 of the 1974 Trade Act.
Despite these moves, economists do not expect the Supreme Court's decision to push consumer prices up significantly in the near term. However, past tariffs have already increased financial strain, with the Tax Foundation reporting an extra $1,000 burden per household last year.
The administration's approach to tariffs has combined broad levies with targeted exemptions. While some relief has been offered to key industries, the threat of further import taxes remains. The financial impact on US families will depend on how these policies unfold in the coming months.
