Congressional Democrats Warn Trump Tariffs Will Cost US Households Over $2,500 in 2026

New tariffs could increase costs for American families as inflation and the war in Iran push up prices.

Mar. 13, 2026 at 10:35pm

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Congressional Democrats have released a study warning that the Trump administration's new tariffs will cost American households an average of $2,512 in 2026, a 44% increase from $1,745 in tariff costs last year. The Democrats say the administration is scrambling to replace revenue lost when the Supreme Court struck down many of Trump's previous tariffs as illegal. The White House has dismissed the study as "phony" and says Trump will continue using tariffs to renegotiate trade deals, lower drug prices, and secure investments.

Why it matters

The potential for higher household costs from new tariffs comes at a time when American consumers are already grappling with high inflation, rising energy prices due to the war in Iran, and general economic uncertainty. This could further strain family budgets and impact the political landscape ahead of the 2026 midterm elections.

The details

The Trump administration is moving quickly to impose new tariffs, including a 10% levy under Section 122 of the Trade Act of 1974 that could be raised to 15%. It is also launching sweeping Section 301 investigations into 16 trading partners, including China and the EU, over allegations of unfair trade practices and excess industrial capacity. Additionally, the administration is expected to make greater use of Section 232 tariffs on goods deemed national security threats.

  • The Supreme Court struck down many of Trump's previous tariffs as illegal in February 2026.
  • The new tariffs under Section 122 can only last 150 days unless Congress agrees to extend them.
  • The midterm elections in the U.S. are scheduled for November 2026.

The players

Donald Trump

The former U.S. president who imposed a series of tariffs that were later struck down by the Supreme Court.

Maggie Hassan

A U.S. senator from New Hampshire and the top Democrat on the Joint Economic Committee, which released the study warning about the impact of Trump's new tariffs.

Kush Desai

A White House spokesman who dismissed the Democratic study as "phony" and said Trump will continue using tariffs to renegotiate trade deals.

Scott Bessent

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

Jamieson Greer

The U.S. Trade Representative who announced sweeping Section 301 investigations into 16 trading partners over allegations of unfair trade practices and excess industrial capacity.

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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.”

— Maggie Hassan, U.S. Senator from New Hampshire

“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

What’s next

The administration is expected to make more use of Section 232 tariffs on goods deemed national security threats, and additional Section 301 investigations could cover issues such as digital services taxes, pharmaceutical drug pricing, and ocean pollution.

The takeaway

The potential for higher household costs from new tariffs comes at a politically sensitive time, as American consumers are already grappling with high inflation, rising energy prices, and economic uncertainty. This could further strain family budgets and impact the political landscape ahead of the 2026 midterm elections.