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Apr 3, 2025 4:52 pm
Global Media Network
Trump food tariff rollback lowers prices for Americans
U.S. President Donald Trump has rolled back tariffs on more than 200 food products. The move aims to ease growing concerns over high grocery prices. Coffee, beef, bananas, and orange juice are among the products now exempt from import duties. The rollback took effect retroactively at midnight on Thursday.
The tariff rollback marks a sharp change in policy. Trump had previously insisted that his import duties were not causing inflation. He acknowledged that some tariffs could raise prices in certain cases, but said overall inflation remained low. The decision comes as Americans increasingly voice worries about the cost of everyday food items.
The exemptions cover foods that are not grown or processed in the United States. They also follow several framework trade deals with countries including Argentina, Ecuador, Guatemala, and El Salvador. U.S. officials are exploring additional agreements before the end of the year to further expand the list of exempted products.
The list includes products commonly bought by American families. Items range from oranges, acai berries, and paprika to cocoa, food chemicals, fertilizers, and even communion wafers. Many of these goods have seen double-digit price increases over the past year. Ground beef prices, for example, rose nearly 13% as of September, while steaks increased almost 17%, the largest jumps in over three years. Bananas rose about 7%, tomatoes 1%, and overall home food costs climbed 2.7% in September.
The rollback has been welcomed by many industry groups. Food manufacturers that rely on these imported goods expect lower production costs. Coffee and other staples are now expected to become more affordable for U.S. consumers. However, some groups expressed disappointment that certain products, such as imported spirits, were not included. Spirits like Scotch, Cognac, and Irish whiskey remain subject to tariffs, which industry leaders say could hurt the hospitality sector during the holiday season.
Trump also said he plans to use tariff revenue to fund a $2,000 payment to lower- and middle-income Americans next year. He called the tariffs a source of funding for this dividend, saying the move would help both consumers and reduce national debt.
The rollback comes amid criticism from Democrats, who have highlighted high food prices as a key issue in state and local elections. Some lawmakers say the tariffs themselves have contributed to rising costs and that the rollback is a delayed recognition of that impact. Economists note that tariffs can increase prices because importers often pass higher duties on to consumers.
Despite this, Trump framed the rollback as a focused adjustment rather than a full policy change. He told reporters that coffee and other key products would see lower prices quickly. He said further tariff changes may not be necessary.
The U.S. had imposed a 10% base tariff on imports from all countries, along with additional specific duties. Trump has argued that other factors, including previous government policies, were primarily responsible for higher food prices. Still, consumers and experts have linked the tariffs to increased costs in grocery stores.
Industry representatives praised the decision. The Food Industry Association noted that Americans will benefit from lower costs on daily staples, while manufacturers will see relief in production costs. At the same time, some critics argued that the rollback does not go far enough. They said certain imported products remain expensive, and some U.S. businesses face ongoing challenges due to tariffs.
The rollback highlights a new focus on affordability. As inflation worries continue, Americans are closely watching policies that affect the cost of living. By removing tariffs on key foods, the administration aims to ease pressure on families while signaling a more flexible trade approach. The policy shift could also influence trade talks with other countries in the coming months.
Overall, the Trump food tariff rollback is seen as a major step to reduce grocery costs for Americans. Coffee, beef, bananas, and other products are now more affordable. While debates over tariffs and inflation continue, the immediate impact will be felt by households at the grocery store.
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