A ‘Morning with Maria’ panel discussed a new report of the Council of Economic Advisors, showing a decline in import prices since the second term of President Donald Trump, claiming that tariffs tariffs tariffs fuel inflation.
First on Fox: A new report by the Council of Economic Advisors (CEA) found that this year prices of imported goods have fallen and are rapidly submerged. Overall goods prices From February.
The CEA, an agency within the President’s Executive Office, said that the contradiction of its findings claim that the Trump administration Tariff on many countries Inflation will increase due to fear spread around the world or by levy.
The report breaks the individual consumption expenditure (PCE) price index, which is closely observed by Federal Reserve and Financial Markets, and the Consumer Price Index (CPI), which is a inflation gauge usually used by the public, in imported and domestic components.
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President Donald Trump held a chart of “mutual tariff” on 2 April 2025 at the White House, while speaking at the Rose Garden. (Chip Somodeville / Getty Images)
According to the CEA report, the total goods prices in the PCE index increased from December to December to 0.4%, which corresponds to the annual rate of 1%. Meanwhile, the imported component of PCE goods prices declined by 0.1% during the same time period.
The report stated, “CEA’s directional findings using this method of analyzing PCE (except food and energy), durable (who lasts for at least three years), and corresponds to nonor.” “Import contribution to inflation includes both the direct impact of the final goods imported for consumption and the indirect impact of imported intermediate inputs.”
The report said that a similar analysis for CPI has shown that the imported goods are 0.8% submerged while the prices of goods were flat.
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Stephen Miran, President of the Economic Advisory Council, speaks during the Hill and Valley Forum at US Capital on April 30, 2025. (Getty image)
According to the report, there are several differences between PCE and CPI inflation, such as scope and waiting functioning of the products involved, which argues that finding a similar pattern for CPI highlights the strength of the results.
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The report states, “The results clearly indicate the fall in the price of imported components, which begins in March, while the overall prices were unchanged or slightly rising.” “Consularly, PCE prices in overall PCE imports have increased by about 1.1% since December for about 0.2%. However, values involve pricing for services that are low in imports, so the deviation may be due to sticker services prices.”
Stephen Miran outside the White House on 17 June 2025. (Getty image)
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The CEA also admitted that the analysis of it “does not identify the counterfectuel in which the tariff is not established.”
The report stated, “The prices of goods and imported goods started at the end of 2023, and have continued since,” the report states. “The important thing is that there is no clear tendency brake so far this year. This analysis suggests that Tariff has not reduced disruptive impulses from imported goods as May.”
