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Estimates Imply That Tariffs Could Fall Heavily on Consumers

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Estimates Imply That Tariffs Could Fall Heavily on Consumers

President Trump has said that his aim in imposing tariffs is to force companies to move production back to the United States. If manufacturers make their goods in America, he argues, they won’t have to pay the tariffs.

But the latest revenue projections proffered by his administration call into question what Mr. Trump wants to achieve with the tariffs he is imposing on both allies and adversaries.

Peter Navarro, a senior trade adviser to Mr. Trump, told Fox News on Sunday that the sweeping tariffs the president was imposing would raise about $6 trillion over the next decade, with those revenues going toward funding “the biggest tax cut in American history for the middle class.”

While he insisted that Americans would not bear the cost, those estimates imply that the burden of tariffs could fall heavily on consumers, rather than encouraging companies to reshore supply chains.

Trade experts have argued that using tariffs to raise revenue directly contradicts the goal of using tariffs to bring factories back to the United States. In order for the government to take in so much revenue, Americans would need to continue buying substantial amounts of imported products.

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Mr. Navarro said the administration would also lower costs for Americans by bringing down gas prices. Trump officials have said that would be accomplished by drilling for more oil in the United States.

“Tariffs are tax cuts, tariffs are jobs, tariffs are national security,” Mr. Navarro said. “Tariffs are great for America.”

Mr. Trump is expected to introduce global tariffs on other countries this week, and has also repeatedly talked about replacing taxes with tariffs. But the U.S. government raises about $2 trillion from individual and corporate income taxes. In 2024, the United States imported $4 trillion of products, meaning tariffs would have to be extremely high to replace tax revenue.

Calculations by economists at the Peterson Institute for International Economics suggested that tariff revenue could peak at about $780 billion annually with a 50 percent tariff on all imports. After that, the amount of revenue would shrink. That’s because when tariffs reach a certain level, consumers tend to stop buying imported products, meaning the revenue they generate decreases.

The Yale Budget Lab estimated that the auto tariffs scheduled to go into effect on Thursday could raise $600 billion to $650 billion between 2026 and 2035. But those prices would fall heavily on consumers. U.S. vehicle prices would rise by 13.5 percent on average, the equivalent of an additional $6,400 for the price of an average new 2024 car. Every American household would pay an extra $500 to $600 as a result of the tariffs, the group estimated.

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Mr. Trump campaigned on reducing inflation that plagued the United States and other countries during the Biden administration.

Mr. Navarro said that tariffs had led to price stability and prosperity in Trump’s first term and would again. “Trust in Trump,” he said.

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Minnesota Republicans reveal which far-left candidate they want to challenge in open Senate race

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Minnesota Republicans reveal which far-left candidate they want to challenge in open Senate race

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Republican strategists and lawmakers are hoping that when voters head to the polls in November to elect the next U.S. Senator of Minnesota, they’ll be forced to choose between either a Republican candidate — or Minnesota Lt. Gov. Peggy Flanagan.

In a Democratic primary that has yet to play out, House Majority Whip Tom Emmer, R-Minn., believes Flanagan would give Republicans better odds than her opponent, Rep. Angie Craig, D-Minn.

“You’ve got the radical Left that is really upending the party. It’s that crazy Marxist anarchist group that is in Minneapolis, especially with a primary,” Emmer said in an interview with local media.

“Think about this. You’ve got Angie Craig, who will have all the money. But she knows that her numbers are in the tank against this radical, wild, wild-eyed Peggy Flanagan, the current lieutenant governor. So, guess who shows up [to the primary]? All the crazies from Minneapolis.”

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EX-NFL REPORTER LAUNCHES GOP SENATE BID, REVEALS HOW SHE WILL FLIP SCRIPT ON STATE’S ‘CRISIS OF LEADERSHIP”

Minnesota Lt. Gov. and candidate for U.S. Senate Peggy Flanagan, left, pictured alongside her Democratic challenger Rep. Angie Craig, D-Minn., right. (Tom Williams/CQ-Roll Call, Inc via Getty Images; David Berding/Getty Images)

“Peggy Flanagan is likely going to be their candidate, and that is good for us,” Emmer said.

The assessment isn’t unique to Emmer.

The Democratic race began in February of last year when Sen. Tina Smith, D-Minn., sparked a four-way Democratic primary with news that she would not pursue reelection in 2026.

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In addition to Craig and Flanagan, Billy Nord, an anti-establishment activist, and Melisa López Franzen, a former minority leader of the Minnesota Senate, announced bids for the seat. But it didn’t take long for Craig and Flanagan to emerge as the clear-cut frontrunners.

Craig, a former journalist, businesswoman and a current four-term U.S. congresswoman, has $4.8 million in cash on hand, according to FEC records.

Flanagan, Minnesota’s lieutenant governor for the past seven years, has $1.1 million cash on hand.

Nord has not reported contributions with the FEC and López dropped out of the race in May of last year.

DEMOCRAT IN KEY SENATE PRIMARY SAYS SHE ‘REGRETS’ VOTE ON LAKEN RILEY ACT, DRAWS GOP BACKLASH

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ST. PAUL, MN. – NOVEMBER 2018: Minnesota DFL (Democratic-Farmer-Laborer Party) Lieutenant Governor-elect Peggy Flanagan and Governor-elect Tim Walz arrived at their transition offices in the State Capitol Thursday morning, November 8, 2018, in St. Paul, Minn. (Anthony Souffle/Star Tribune)

While Republican onlookers believe both frontrunners can be described as “far-left,” many have pointed out Flanagan shares platform similarities with more polarizing, high-profile Democrats — such as New York Mayor Zohran Mamdani and has shared the same platform as Gov. Tim Walz, who she has called an “incredible partner.” Walz was hammered during his failed 2024 vice presidential bid for all of his far-left proposals.

In the view of the National Republican Senatorial Committee, that makes for a Republican advantage.

“She, too, supports Medicare for All, wants to ‘re-imagine’ policing and attended anti-ICE protests where she called on people to “put their bodies on the line” to defend illegal immigrants from ICE,” the NRSC said in a press release.

More notably, Republicans believe Flanagan’s greatest liability is a tenure that overlaps with recent revelations of up to $9 billion in fraud through government benefit programs.

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Through scores of schemes, fraudsters in Minnesota allegedly siphoned funding from government programs like daycare centers and health clinics while returning no benefits, greatly exaggerating their services and pocketing government funding.

The fraud revelations made national news last year, raising questions about how state leadership could have missed the sheer size of the losses.

DFL party Chair Mike Erlandson told the Minnesota Star Tribune he believes fraud will remain front-and-center in the minds of voters.

“I don’t think there’s any way that this issue isn’t still being talked about in November. And anybody that was a party to it, whether you’re a legislator or Lt. Gov. Flanagan, if she’s the nominee, is going to have to answer questions around it,” Erlandson said.

NRSC Chairman Sen. Tim Scott, R-S.C., echoed that sentiment.

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“From allowing billions of dollars in fraud to vilifying law enforcement, the Walz-Flanagan administration has failed Minnesotans,” Scott wrote in a post to X.

For her own part, Flanagan’s campaign told Fox News Digital she likes her chances to win in a general election, pointing to Minnesota’s solidly-blue track record of sending Democrats to the U.S. Senate.

“Minnesota hasn’t voted for a Republican statewide in over 20 years – with Trump in the White House and the chaos ICE inflicted on Minnesotans, this is not going to be Craig’s or the GOP’s year,” Alexandra Fetissoff, a Flanagan campaign spokeswoman, said.

“Peggy Flanagan is the only candidate in this race who has won statewide, the only candidate not taking corporate money and the only candidate that hasn’t enabled Trump’s ICE. Minnesotans know Peggy and trust her leadership and that’s why she’ll be the next Senator from Minnesota.”

MICHELE TAFOYA SAYS MINNESOTA NEEDS POLITICAL OUTSIDER ‘WITH A SPINE’ IN REPUBLICAN SENATE BID

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ST. PAUL, MN. – JUNE 2022: Minnesota DFL (Democratic-Farmer-Laborer Party) Lieutenant Governor Peggy Flanagan speaks during a press conference Saturday, June 25, 2022 in St. Paul, Minn. U.S. Senators Amy Klobuchar and Tina Smith joined Governor Tim Walz and Lt. Governor Peggy Flanagan at the State Capitol for a Press Conference with Planned Parenthood North Central States CEO and President Sarah Stoesz a day after the U.S. Supreme Court overturned Roe V. Wade. (Aaron Lavinsky/Star Tribune)

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When asked if he stood by his comments on the Minnesota primary, Emmer said he believes Republicans will run a competitive race, regardless of the Democratic nominee.

“Minnesotans will reject both of these far-left, fraud-enabling radicals who would only dig our state into an even deeper hole than it’s already in. Good luck to Flanagan and Craig as they continue fighting tooth and nail to win over the cop hating, open-border extremist base while alienating commonsense Minnesotans,” Emmer said.

Craig and Flanagan will face off in the primary on Aug. 11. Fox News Digital reached out to Craig for comment.

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Contributor: Trump’s empty bluster worked until he took on the pope and Iran

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Contributor: Trump’s empty bluster worked until he took on the pope and Iran

Until recently, President Trump always found a way to fail forward, through a combination of spin, threats, payoffs and bluster.

OK, that’s the simplistic interpretation. The fine print tells a less-glamorous story: a man born on third base who spent decades insisting he’d hit a triple.

Still, it’s hard to argue with success. When Trump entered politics, he redefined the rules of the game. Rivals who tried to outflank him on policy detail, ideological consistency and institutional norms found themselves either vanquished or assimilated by the Borg.

By my lights, only once during Trump’s admittedly chaotic first term did he run into something that his playbook couldn’t at least mitigate or parry: the COVID-19 pandemic. For the final year of his presidency, reality refused to negotiate, and political gravity reasserted itself. It turns out, viruses aren’t susceptible to the Art of The Deal.

But then, miraculously, Trump wriggled through legal jeopardy, bulldozed his way past more conventional Republicans and Democrats, and re-emerged victorious in 2024.

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If anything, that comeback reinforced the idea that Trump could survive anything by virtue of his playbook.

By the start of his second term, he’d made impressive headway in co-opting not only individuals but also major institutions within big tech, the media and academia.

Even in foreign affairs, Trump’s sense that any problem could be solved via force, intimidation or money was confirmed when he captured Venezuelan President Nicolás Maduro and installed Maduro’s vice president, Delcy Rodríguez, as a sort of puppet leader. Everyone has a price, right?

Unfortunately for Trump, no. Not everyone does.

Lately, the president has encountered a different kind of resistance — adversaries motivated by something bigger and more transcendent than money, power or the avoidance of pain.

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In dealing with Iran, for instance, Trump has confronted people operating under a wholly different set of incentives. It’s a regime guided by a mix of ideology, radical religious doctrine and long-term strategic interests that don’t always align with short-term material gain.

(Now perhaps, having punished Trump enough already, Iran will finally come to the negotiating table. But even if that happens, it will have occurred after exacting a steep price — so steep, in fact, that it may already be too late for Trump to plausibly claim a win.)

It turns out, you can’t easily intimidate or pay off a true believer who isn’t afraid to die and believes they have God on their side.

A similar (though obviously not morally equivalent) dynamic is now also on display in the form of Trump’s skirmish with Pope Leo XIV, a man who commands moral authority. He opposes the war in Iran (“Blessed are the peacemakers”) and has demonstrated a stubborn refusal to back down to Trump’s attempts at bullying.

“Woe to those who manipulate religion and the very name of God for their own military, economic and political gain, dragging that which is sacred into darkness and filth,” Leo said during a tour of Africa. It’s a remark that the American pope seemed to implicitly be aiming at the American president.

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Here’s what Trump doesn’t understand: There are still pockets of the world where concepts like faith and national identity outweigh tangible incentives. Where sacrifice and suffering are an accepted part of the plan.

When facing these sorts of foes, Trump’s usual operating system starts to look less like a cheat code and more like a category error.

But he can’t see this because Trump is always prone to a sort of cynical projection — of assuming everyone views the world in the same base, carnal, corrupt way he sees it.

Whether it was his incredulity that Denmark wouldn’t sell Greenland, rhetoric that seemed to discount the motivations of those who serve and sacrifice in the military, or his affinity for nakedly transactional gulf states, the pattern is familiar: a tendency to view decisions through a cost-benefit lens that not everyone shares.

To be fair, that lens has often served him well. In arenas where power, money and leverage dominate, Trump’s approach is eerily effective.

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But after years of taming secular, “rational” opponents, he is fighting a two-front war against people who see their struggles as moral and spiritual.

They aren’t stronger in a conventional sense. But they are, in a very real sense, less susceptible to Trump’s methods.

For perhaps the first time in his life, Donald Trump finds himself facing adversaries who aren’t just immune to his usual Trumpian playbook but are playing a different game altogether.

Matt K. Lewis is the author of “Filthy Rich Politicians” and “Too Dumb to Fail.”

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Video: Democrats Confront RFK Jr. on Vaccines and Health Care Fraud

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Video: Democrats Confront RFK Jr. on Vaccines and Health Care Fraud

new video loaded: Democrats Confront RFK Jr. on Vaccines and Health Care Fraud

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Democrats Confront RFK Jr. on Vaccines and Health Care Fraud

Lawmakers confronted Robert F. Kennedy Jr. on vaccine messaging and the Trump administration’s handling of health care fraud. The health secretary was also criticized over comments he made about psychiatric medications and Black children, which he denied.

“A deadly measles outbreak in Texas killed an unvaccinated 6-year-old, the first such death in a decade. Do you agree with the majority of doctors that the measles vaccine could have saved that child’s life in Texas?” “It’s possible, certainly.” “President Trump approved your decision to end the C.D.C.’S pro-vaccine public messaging campaign?” “We’ve done better at preventing —” “That’s not answering my question. You suspended this pro-vaccine messaging campaign, but somehow you’re spending taxpayer dollars to drink milk shirtless in a hot tub with Kid Rock.” “Our nation has a long and painful history of separating Black children from their families. During slavery, Black children were taken from their parents and sold with no regard for their humanity. When you suggested re-parenting Black children, when you sow doubt about the safety of vaccines and when you promote unproven statements that have no basis in science, you endanger the lives of everyone across this nation.” “If we’re going to pursue fraudsters, it’s not just the people who might make simple, honest mistakes that could be corrected. It’s the people at the top that help to perpetuate this fraud. And the administration’s position seems to be that it’s only the recipients and not the providers that commit fraud. We want an even-handed approach to these fraud investigations, including those whose schemes have cost the American taxpayers hundreds of millions of dollars.”

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Lawmakers confronted Robert F. Kennedy Jr. on vaccine messaging and the Trump administration’s handling of health care fraud. The health secretary was also criticized over comments he made about psychiatric medications and Black children, which he denied.

By Jorge Mitssunaga

April 16, 2026

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