Goldman Sachs: Imposing a 25% tariff on Canada and Mexico will raise U.S. inflation by 0.6%

ChainCatcher news, according to Jin Shi reports, Goldman Sachs economists predict that Trump's 25% tariff on imports from Canada and Mexico, along with a 10% tariff on Canadian energy, will lead to a 0.6% increase in core consumer prices in the United States. "We do not rule out the possibility of a last-minute suspension of the tariffs," they wrote in a report to clients on Monday night. "This time, an obvious strategy is to push the deadline to April 2 to align with other planned tariff announcements.

If the tariffs take effect, we believe they are unlikely to become a permanent feature of U.S. trade policy, although it is uncertain how long they will last." The core consumer price index in the U.S. rose 3.3% year-on-year in January, excluding food and energy, while the Fed-preferred PCE index rose 2.6% year-on-year.