Economists at the Kansas City Fed concluded that President Trump’s tariff hikes will cause the U.S. job market to lose about 19,000 jobs per month in 2025.
Federal Reserve economists pointed out that job growth in 2025 was slower than in 2024.
In 2024, 170,000 were created per month, but in 2025, that number decreased to just 75,000 per month until August 2025.
Analysis also shows that it will happen in 2025. Employment growth slowed in nearly every sector, with companies directly hit by the tariff hikes seeing sharp declines in job creation.
“Overall, our findings suggest that, at least for now, domestic firms may have added fewer jobs in response to the tariffs, similar to the employment impact of the 2018 tariffs,” KC Fed economists said.
In 2018, the Trump economy’s GDP growth rate reached 3%, but that number declined in 2019. Some economists blame higher tariffs introduced in 2018 for the decline in growth.
Columbia Sportswear, which has several stores here in Florida, imports much of its clothing from overseas.
CEO Tim Boyle said consumers could see a 10-12% increase in 2026 due to the tariff hike.
Last year, Florida TaxWatch released a report revealing how Floridians see their grocery bills increasing by 10% to 15% under President Trump’s tariff proposals.
Other costs for Floridians include high construction costs by developers who import the products that are delivered to consumers.
Erica York, vice president of federal tax policy at the Conservative Tax Foundation, regularly highlights where higher tariffs are increasing costs for U.S. consumers.
York said the economic damage realized from the tariffs would be less than economists initially expected, as the tariffs ultimately imposed were much smaller than those initially announced.
