Democrats Warn New Tariffs Will Cost Households Over $2,500 in 2026

The administration is scrambling to replace revenue lost from the Supreme Court striking down Trump's previous tariffs.

Mar. 14, 2026 at 6:53am

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Congressional Democrats warn that the Trump administration's efforts to impose new tariffs will cost American households an average of $2,512 in 2026, up 44% from $1,745 in tariff costs last year. This comes as U.S. consumers are already struggling with high costs of living and rising energy prices due to the war with Iran.

Why it matters

The new tariffs would further burden American families already facing high inflation and economic challenges. The administration is trying to replace revenue lost after the Supreme Court struck down many of Trump's previous tariffs, which were ruled illegal.

The details

The administration is pursuing new tariffs under different legal authorities, including Section 301 of the Trade Act of 1974 to target alleged unfair trade practices by countries like China. However, these new tariffs are also facing legal challenges. The Democrats' study assumes 100% of tariff costs will be passed on to consumers, based on Congressional Budget Office analysis.

  • The Supreme Court struck down much of Trump's tariff agenda last month.
  • The administration must now provide refunds of around $175 billion to importers who paid the illegal tariffs.
  • The new tariffs under consideration could take effect as soon as this year.

The players

President Donald Trump

The President who is pursuing new tariffs to replace revenue lost from the Supreme Court ruling against his previous tariff agenda.

Sen. Maggie Hassan

The top Democrat on the Joint Economic Committee, who criticized the administration's tariff plans as hurting American families.

Kush Desai

A White House spokesman who dismissed the Democrats' study as "phony" and said Trump will continue using tariffs.

Scott Bessent

The Treasury Secretary who said new tariffs "will result in virtually unchanged tariff revenue in 2026."

Jamieson Greer

The U.S. Trade Representative who announced a sweeping Section 301 investigation into alleged unfair trade practices by 16 U.S. trading partners.

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What they’re saying

“Despite a Supreme Court ruling that much of Trump's tariff agenda is illegal, the Trump administration refuses to provide relief for families. As American families continue to struggle with high costs, the President keeps choosing to institute new tariffs that will push prices even higher.”

— Sen. Maggie Hassan, Top Democrat on the Joint Economic Committee

“President Trump will continue using tariffs to renegotiate broken trade deals, lower drug prices, and secure trillions in investments for the American people.”

— Kush Desai, White House spokesman

“The United States will no longer sacrifice its industrial base to other countries that may be exporting their problems with excess capacity and production to us.”

— Jamieson Greer, U.S. Trade Representative

What’s next

The administration is expected to make more use of Section 232 of the Trade Expansion Act of 1962 to impose additional tariffs on goods deemed threats to national security.

The takeaway

The administration's push for new tariffs, despite legal challenges, highlights the ongoing political and economic tensions around trade policy and its impact on American households already facing high inflation and rising costs of living.