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    Here’s the inflation breakdown for August 2025 — in one chart

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    By Greg Iacurci

    Copyright cnbc

    Here's the inflation breakdown for August 2025 — in one chart

    Tariff policies pursued by President Donald Trump appear to be the main contributor to rising inflation for goods, she said.

    U.S. entities that import goods from overseas pay the import duties. Companies will ultimately pass at least some of those additional taxes on to consumers, though the process will take many months due to various business strategies to try to blunt the impact, economists said.

    “The fact that we’re seeing some of the largest tariffs since the 1940s I think is certainly a part of the pickup in goods prices,” House said.

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    The tariff impact has been most noticeable in categories like household furnishings, appliances, apparel and recreational goods, economists said.

    Apparel prices, for example, have risen by a relatively muted 0.2% over the past year, according to CPI data. However, their annual inflation rate has jumped sharply in recent months, having climbed for three consecutive months from a recent low of -0.9% in May.

    A large share of clothing imported to the U.S. apparel comes from Asian nations where tariffs have risen considerably, Zandi said.

    “Tariffs are all over the apparel prices,” Zandi said. “They’ve risen quite strongly the last few months.”

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