Since “Liberation Day,” it appears that U.S. companies have absorbed most of the cost of Trump’s tariffs. However, a new study by Goldman Sachs predicts that soon the burden will be passed on to the final consumers in the form of higher price tags. As of June, US consumers have absorbed an estimated 22% of the tariffs. But that could rise to 67% if the latest tariffs follow the pattern of levies in previous years.

Warning: We don’t entirely trust the Goldman estimates. The study calculates that only 14% of the tax is borne by the foreign producers. That’s ridiculous in our opinion. If that were the case, then foreigners wouldn’t be so aggressively opposing the tariffs. We think that closer to half of the burden of a tariff comes out of the profits of foreign importers in lower per unit profits and lower volume sold at the higher post-tariff price.