Trump: Tariffs Don’t Cause Inflation, They Cause Success

‘Tariffs don’t cause inflation. They cause success, growth, and jobs. That’s what they cause.’

Analysis: This statement is a textbook example of a claim detached from economic reality. The assertion that tariffs do not cause inflation is directly contradicted by a substantial body of evidence, including data from Trump’s own administration. A study by the Federal Reserve Bank of New York found that Trump’s ‘Liberation Day’ tariffs, announced in April 2025, increased consumer goods prices by approximately 2.9%. This is a direct, measurable impact on the price level, which is the definition of inflation.

Furthermore, the claim is inconsistent with Trump’s own previous statements. During his 2024 campaign, he promised voters he would ‘immediately bring prices down.’ The final inflation report ahead of the 2026 midterm elections shows that prices remain high, with consumer prices increasing 3.7% over the last year while average hourly earnings rose only 3%. This means real wages are falling, a direct consequence of the price pressures his tariff policies have contributed to.

The statement also ignores the broader economic context. The US is facing higher energy prices linked to the conflict with Iran, and economists like Peter Morici, who aligns with Republicans, have stated that ‘the inflation is clearly traceable to Donald Trump. It’s his tariffs and the war.’

Trump’s claim that tariffs cause ‘success, growth, and jobs’ is also questionable. While some domestic industries may benefit, the overall effect of tariffs is to raise costs for businesses and consumers, which can stifle growth. The Wall Street Journal has reported that Trump’s aluminum tariffs have driven up costs for American businesses without quickly solving the country’s dependence on imports, with the extra amount US buyers pay for aluminum reaching a record $2,116 per metric ton.

In summary, the statement is a gross oversimplification that flies in the face of empirical data, his own administration’s record, and basic economic principles.

Source: ClashReport, 26.10.2026