Today, February 24, 2026, Trump's 15% global tariffs officially take effect. This measure impacts $1.2 trillion in annual imports — 34% of everything the United States buys from abroad. According to the Tax Foundation, it represents the largest tax increase as a percentage of GDP since 1993.
Why Trump raised tariffs to 15%
The backstory is complex. The Supreme Court declared illegal the previous tariffs Trump had imposed under the International Emergency Economic Powers Act (IEEPA). In response, Trump activated Section 122 of the Trade Act, which allows temporary tariffs for up to 150 days.
He initially set the rate at 10% but raised it to 15% "effective immediately" on February 21. Trump declared plans to "do absolutely terrible things to foreign countries" on trade.
How much it will cost you: $1,500 per household
The numbers are clear and concerning:
- $1,500 additional per household on average during 2026
- +0.5 percentage points in core PCE inflation
- -0.4% in 2026 GDP growth
- Imported products from all countries become more expensive: electronics, clothing, food, automobiles, construction materials
What products will get more expensive
The 15% tariffs apply to virtually everything imported. The most affected:
- Electronics: smartphones, laptops, PC components (mostly made in Asia)
- Clothing and footwear: largely from China, Vietnam, and Bangladesh
- Automobiles: both finished vehicles and auto parts
- Food: fruits, vegetables, coffee, olive oil, and imported gourmet products
- Construction materials: steel, aluminum, lumber (affects new home prices)
How to protect your wallet
There are concrete actions you can take now:
- Big purchases: if you plan to buy an appliance, car, or electronics, do it soon before prices fully adjust
- Review your budget: adjust for a 5-15% increase in imported goods
- Look for domestic alternatives: US-made products don't pay tariffs
- Investments: domestic manufacturing and companies with local supply chains could benefit
- Don't panic: Section 122 tariffs expire in 150 days (July 2026)
Market impact
On Monday, markets reacted negatively: the S&P 500 dropped 1% and the VIX fear index spiked 10%. However, Tuesday's trading shows recovery signs, with the Dow climbing over 400 points.
Trade uncertainty remains the biggest risk. Economists warn that lacking a stable tariff framework hurts investment, hiring, and international trade.
What comes next
Section 122 tariffs have a legal limit of 150 days, meaning they expire around July 2026. The question is whether Trump will seek another legal mechanism to make them permanent or negotiate bilateral trade deals before then. In the meantime, prepare for higher prices on nearly everything imported.
