American consumers could soon feel increasing tariff-related pain with their purchases.<\/p>\n
That\u2019s according to a report<\/a> Monday (Aug. 11) from Bloomberg News, citing research from Goldman Sachs<\/a>.<\/p>\n While U.S. companies have so far absorbed the brunt of the impact of the White House\u2019s tariffs<\/a>, consumers will soon feel more pressure as companies raise prices, the bank\u2019s economists said.<\/p>\n While consumers have \u2014 as of the end of June \u2014 absorbed roughly 22% of tariff costs, that figure will jump to 67% should the newest levies follow in the path of earlier tariffs, the economists said.<\/p>\n The Bloomberg report notes this will lead to faster inflation. The core personal consumer expenditure index, a key Federal Reserve inflation metric, is projected to reach 3.2% year-on-year in December, according to the Goldman report. The analysts said underlying inflation net of tariffs would be 2.4%, down from 2.8% in June.<\/p>\n The findings follow last week\u2019s release of the July 2025 Survey of Consumer Expectations, from the Federal Reserve Bank of New York\u2019s Center for Microeconomic Data.\u00a0<\/p>\n That report showed that while American consumers feel more optimistic about their finances, they are wary<\/a> of several other economic factors, with their short- and long-term inflation expectations increasing.<\/p>\n Meanwhile, research by PYMNTS Intelligence has been tracking the effect of tariffs on consumers. It found, among other things, that nearly a third of consumers<\/a> had delayed or canceled discretionary buys such as electronics, home d\u00e9cor, or even back-to-school supplies.<\/p>\n And 42% of the surveyed consumers said they now compare prices at three or more retailers before making a purchase, up from 27% in January.\u00a0<\/p>\n PYMNTS analysts caution that prolonged periods of out-of-stock items can \u201ctrain\u201d shoppers to regard once-routine purchases as risky, making thrift a long-term habit and eroding lifetime customer value for brands.<\/p>\n \u201cTariffs are no longer an abstract policy lever,\u201d PYMNTS wrote last week. \u201cThey are a daily pain point<\/a> at the checkout aisle. Retailers must brace for a consumer who is both price-sensitive and chronically unsure whether the product will even be on the shelf.\u201d<\/p>\n