Businesses Hiked Prices Quickly After Tariffs, NY Fed Study Says

Businesses have hiked prices quickly in response to tariffs, though only modestly cut headcount, according to a new study by the Federal Reserve Bank of New York that surveyed companies across the district.

Roughly three-quarters of manufacturers and services firms in the district have passed on to consumers at least some of the higher costs they’ve faced due to tariffs, the study released on Wednesday showed. Around a third of manufacturers and almost half of services firms said they had fully transferred their higher costs.