Bye, Bye Tariff-Inflation Fears
The December Consumer Price Index (CPI), released Tuesday by the Bureau of Labor Statistics, delivers a verdict on the great tariff inflation panic of 2025: the predicted price surge mostly didn’t happen, and it is already over .
Commodities less food and energy —the category most directly exposed to tariffs on imported manufactured goods—were flat in December. Zero percent. New vehicles, flat. Used cars, down 1.1 percent. Appliances, down 4.3 percent for the month. These are precisely the categories where tariff critics predicted we’d see surging prices as importers passed costs through to American consumers.
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