The United States intends to impose tariffs on countries around the globe to raise revenue and boost domestic production. A tariff is a tax that companies pay on imported goods. For example, President Donald Trump enacted a universal 10 percent tariff on all imports, effective April 5. And reciprocal tariffs ranging from 11 percent to 50 percent were imposed on more than 50 countries, before they were paused for 90 days for all nations except China.
As a result of these added expenses, many companies could decide to raise prices on their products. For instance, retailers such as Walmart and Target have announced price hikes. More than half, or 54 percent, of U.S. companies expect to raise prices due to tariffs, according to a survey by financial services company Allianz.
