Trump's import tariffs are being paid by Americans — Bloomberg

In the US, import prices excluding fuel were up notably in June. President Donald Trump claimed other countries would pay for his import tariffs. But the reality looks very different. Foreign companies aren't paying the rate. Macroeconomic data shows Americans and US businesses are bearing most of these costs, Bloomberg reports.

Meanwhile, relatively low inflation shows US companies aren't passing tariff costs to consumers yet. American businesses are absorbing expenses because of high levies.

Several foreign manufacturers are sharing the tariff burden to maintain US market access. For example, Japanese automakers significantly cut prices for their American exports in June, Bloomberg notes.

However, for many companies, the weaker dollar has become a reason to raise export prices and offset losses. Analysts at Wells Fargo believe businesses won't keep sacrificing profits much longer. Inflationary pressure in the US will likely increase in the near future.