As sweeping new tariffs take effect across the United States, many Americans are responding with a mix of anxiety-driven shopping, cautious optimism, and deep uncertainty about what comes next for their wallets—and the wider economy.
The tariffs, imposed by President Donald Trump earlier this month, include a 10% levy on most imports and a staggering 145% duty on goods from China. The new measures, aimed at protecting domestic industries, are already stirring fears of price hikes, product shortages, and economic slowdown.
For Richard Medina, a 43-year-old from New York, even a malfunctioning phone was cause for urgency. “We’ve got to switch this out now,” he said, referencing the uncertainty around future prices for smartphones, many of which are sourced from China.
Across the country, similar concerns are mounting. Consumers are stockpiling essentials like baby formula, canned food, and electronics, fearing the next wave of price increases. Cristina Montoya, 74, said she’s been gradually buying extra frozen fruit and non-perishables. “You never used to do your shopping nervous,” she said. “Now, you don’t know what’s going to happen.”
While initial impacts in stores have been muted—thanks to companies stockpiling inventory—economists warn of a looming spike in prices for clothing, electronics, toys, and pharmaceuticals. Yale’s Budget Lab estimates the average American family could face an extra $4,700 annually in costs if spending habits remain unchanged.
Major retailers such as Target and Walmart have reported increased foot traffic following the tariff announcements. Online platforms like Amazon, where Chinese sellers are prominent, have also seen a spike in purchases, according to ConsumerEdge and Amazon CEO Andy Jassy.
“I wouldn’t say I’m panic-buying yet,” said Jamie Casey, a 38-year-old mother shopping in Brooklyn. “But I am interested in how it plays out.”
Some retailers are now tacking on tariff surcharges or cancelling shipments from China, uncertain whether they can offset the higher costs. Analysts at Macquarie warned that shortages could arise for products where China dominates the supply chain—items like baby strollers, colouring books, and umbrellas.
Economic forecasts are turning grim. Nationwide’s Chief Economist Kathy Bostjancic projects U.S. growth will slow to 0.5% this year, with unemployment rising to 5%. Others, like JPMorgan, foresee a potential recession. “We could see consumer spending strong in March and April due to stockpiling,” Bostjancic said, “but going forward, spending is likely to weaken.”
Amid the uncertainty, some Americans are preparing for the worst. Louis Lopez, a 56-year-old elevator mechanic, said he’s started saving cash at home. Still, he left a store with new work clothes and sneakers. “You might as well buy it now… while you have it good,” he said. “It’s going to change everything for everybody.”
