Name: Shoppers buy bare minimum at grocery stores as tariffs loom
Uploaded: 2025-02-05T01:27:04.640Z
Duration: 3 min 41 s
Description: With grocery prices already more than 25% higher than five years ago, tariffs could spur increased costs for families already on a tight budget. Nancy Chen has more.

With grocery prices already more than 25% higher than five years ago, tariffs could spur increased costs for families already on a tight budget. Nancy Chen has more.

Washington

Donald Trump has signed an order to impose tariffs imports into the U.S. from countries including China, Mexico and Canada.

Global Tariffs

Shoppers in the United States are feeling the pinch as grocery prices continue to rise, exacerbated by the U.S. imposing a 10% tariff on Chinese goods. In response, China has levied tariffs of 10% to 15% on American products such as coal and gas. These developments add to the strain that American families are already facing due to inflation and supply chain disruptions.

Consumers like Melissa Robinson, who shop in Clifton, New Jersey, have felt the brunt of these price increases, with weekly grocery bills reaching $250. Cost spikes have been attributed to several factors, including supply chain issues, increased labor costs, and bird flu outbreaks. Egg prices, for example, have seen a 65% rise over the past year and are predicted to surge by another 20%.

The potential impact of tariffs, especially on produce, poses further challenges for businesses like that of Stu Leonard Jr., a family-owned grocery chain. Produce is particularly susceptible, given that nearly 60% of fresh fruits and 35% of fresh vegetables are imported. Distributors like Anthony Serafino, who imports goods from Latin America, warn of the inevitable passing on of these increased costs to consumers, further burdening families who may already be struggling financially.

Despite the relief of a temporary pause on tariffs for Mexican and Canadian goods, items from China now face additional duties. Popular imports such as avocados could become significantly more expensive, as 90% of the U.S. supply is imported. The combination of persistently high prices and tariffs creates a unique challenge for the grocery industry, with little relief in sight. Economists suggest that wages would need to rise at a faster rate than prices to alleviate this burden, a solution that might take years to materialize.



Shoppers buy 'bare minimum' at grocery stores as tariffs loom

The United States hit China today with a 10% tariff on all goods it exports to the United States. And China responded with tariffs of 10 to 15% on a narrow range of American products including coal and gas. Nancy Chen in Clifton, New Jersey, begins our coverage of the rising price of just about everything. Nancy. Maurice, it has been a persistent problem. Even with inflation slowing, it is nearly impossible to get the same amount of food as you could just a few years ago with that same budget. And American families are making sacrifices. Each trip to the store is getting harder for Melissa Robinson. I can't afford to, you know, eat a healthy diet for my kids and for myself. I just buy the minimum, the bare minimum. These days you're buying the bare minimum. Yeah. How hard is it to put food on the table for your family? I spend at least $250 a week. We found grocery prices are more than 25% higher than five years ago. That's in part because of supply chain issues, increased labor costs and bird flu outbreaks. Egg prices alone have gone up on average 65% in the past year and are expected to increase 20% more this year, according to the USDA. Customers don't want any more price increases. Yes. They're up to here. Now the threat of tariffs is adding yet another challenge for grocer Stu Leonard Jr., the CEO of his 100-year-old family business. While tariffs on Mexican and Canadian goods are on a 30-day pause, goods from China are now subject to a 10% tariff. In general, where have you seen the biggest price increases? What we're just trying to do is keep our prices as tight as we can, not lower quality a bit. Produce is especially vulnerable to tariffs. In 2023, nearly 60% of the fresh fruit and 35% of the fresh vegetables on store shelves were imported. How do you even operate when there is so much volatility? I mean, it's very difficult, but we all have to eat. Are you stockpiling things? How are you planning ahead? You can't really stockpile, right, because they're perishables. I always say we're not selling wine. It doesn't get better with age. Anthony Serafino imports and distributes produce from Latin America. Goods are more expensive, and they will be passed along to the consumer. So we're just preparing our clientele to make them aware. Any price increase is a challenge for families already on a tight budget. We just have to do what we can do, but it's pretty much the bare minimum. We asked both Serafino and Leonard about what would be hit hardest if there are tariffs on Mexican goods. Both pointed to avocados because we import 90% of this country's supply. Nancy, let's put tariffs aside for just a second. When people talk about high prices, they talk about supply chains and labor. What does that mean in specific terms? When it comes to supply chains, it's like what you remember from the pandemic. When there are shrinking—shipping bottlenecks shrink supplies, which makes what does get through more expensive. Also, when there aren't enough workers, it makes what—the labor that does get through more expensive. Also important to note that when prices do go up, companies are often reluctant to bring them back down, even if circumstances change. Is there any hope, Nancy, for prices to ever actually come down? Unfortunately, not really. While you may see specific individual items go down in price, grocery prices as a whole are here to stay. The economists we spoke with say that the real solution here is waiting for wage increases to outpace price increases, but that could take years.

NASA’s historic Artemis II mission to the moon launched Wednesday evening, taking four astronauts into Earth's orbit and on a path toward the world's first crewed lunar mission in a generation, beginning a journey into remarkable territory.

Florida

Artemis II launches as NASA shoots for the Moon in historic mission

President Trump addressed the nation about the Iran war Wednesday night, saying that the U.S. would complete its mission there "very shortly." He also sought to assure Americans that the conflict with Iran would be brief compared to other wars in U.S. history and insisted that gas prices would go down quickly.

Iran Strikes

Middle East Conflict

Trump says Iran war objectives 'nearing completion' in address to the nation

The first payment to Ukraine under the €90 billion loan could happen in a matter of days after Hungary lifts its veto. EU officials, however, concede the dispute will be solved only after the country goes to the polls on April 12.

Brussels

Ukraine Invasion

EU readies first payment to Ukraine as soon as Hungary lifts veto

U.S. President Donald Trump is again threatening to pull the United States out of NATO, calling European allies "cowards" for their refusal to support the joint U.S.-Israeli war against Iran.

Trump renews NATO attacks as Europe rejects role in Iran war

President Donald Trump became the first sitting U.S. president to attend a Supreme Court hearing after showing up on Wednesday (April 1) to listen to arguments on his birthright citizenship executive order.

Trump becomes first sitting president to attend Supreme Court hearing

American journalist Shelly Kittleson, who was kidnapped in Iraq, was concerned about her safety before she was taken, one of her editors tells CBS News' Chris Livesay.

Baghdad

American journalist Shelly Kittleson kidnapped in Iraq

The Artemis II mission to the moon is expected in a few hours if all goes according to plan. Linda Godwin, a retired astronaut and professor emeritus at the University of Missouri, joins CBS News with more.

Cape Canaveral

NASA's Artemis II mission set to launch

Golf legend Tiger Woods said on Instagram that he's "stepping away for a period of time to seek treatment" and focus on his health following his DUI arrest after a car crash in Florida last week. His announcement comes as court documents reveal new details about his arrest.

Jupiter

Tiger Woods seeks treatment after DUI arrest

U.S. President Donald Trump says operations in the Middle East will end in 2 to 3 weeks, but the administration wouldn't confirm if it's planning a ground invasion. Secretary of War Pete Hegseth said the U.S. prefers a peace deal, adding, 'In the meantime we'll negotiate with bombs.'

Hegseth says Iran deal preferable, U.S. will 'negotiate with bombs'

Trump targets birthright citizenship as the Supreme Court reopens the 14th Amendment battle, sparking protests and fears for U.S. identity.

Trump to challenge U.S. birthright citizenship in Supreme Court

Heavy strikes hit Lebanon's capital Beirut overnight as Israel claimed it had struck a "senior Hezbollah commander" and another member of the group. Israeli Defence Minister Israel Katz said his country's military intends to occupy a swathe of southern Lebanon.

Beirut

Israeli strikes kill seven in Beirut as it vows to occupy southern Lebanon

Syria's president has met with UK Prime Minister Keir Starmer in London to discuss the return of Syrian refugees and potential British investment in his country. Ahmed al-Sharaa is trying to drum up support in Europe for Syria's economic recovery after years of conflict.

London

Syrian president Al-Sharaa meets UK PM Starmer in London

President Trump lashed out at European allies who he said haven't done enough to help reopen the Strait of Hormuz to oil tanker traffic. Weijia Jiang has details.

Trump lashes out at European allies over Strait of Hormuz

U.S. Defense Secretary Pete Hegseth has called on NATO allies to help reopen the Strait of Hormuz, which has been effectively closed by Iran during the ongoing war.

Pentagon chief calls on NATO to act on Strait of Hormuz crisis

The U.S. Supreme Court ruled on Tuesday (March 31) in the case of a Colorado law banning conversion therapy for minors. Justice Ketanji Brown Jackson was the lone dissenter.

Supreme Court rules against Colorado youth 'conversion therapy' ban

Spain's airspace is now closed to U.S. planes involved in attacks on Iran, a step beyond its previous denial of use of jointly operated military bases. Prime Minister Pedro Sanchez has become one of the most vocal critics of the U.S. and Israeli attacks in Iran.

Madrid

Spain closes airspace to U.S. planes involved in attacks on Iran

The FBI says the synagogue attack earlier in March was inspired by Hezbollah, targeting Michigan’s largest Jewish temple with a truck packed with fuel.

West Bloomfield Township

FBI: Michigan synagogue attack inspired by Iran-backed Hezbollah

High Representative Kaja Kallas gathered EU foreign ministers in Kyiv to honor the victims of the Bucha massacre, which has since then come to symbolize the search for justice and accountability in Ukraine.

Bucha

EU, except Hungary, vow accountability for war crimes in Ukraine

U.S. President Donald Trump has told aides that he is willing to end the U.S.-Israeli war with Iran even if the Strait of Hormuz remains largely closed, The Wall Street Journal reported, citing officials.

Trump willing to end war even if Strait of Hormuz stays closed: report

A new court filing reveals defense attorneys for Tyler Robinson, the man accused of killing Charlie Kirk, claim an ATF analysis could not conclusively connect the bullet that killed Kirk to the gun Robinson allegedly used. Now the lawyers are asking to delay Robinson's preliminary hearing to review the evidence.

Salt Lake City

Questions raised about bullet used to kill Charlie Kirk

A Tehran resident told CBS News many people have given up hope that the war will help topple the regime, adding that it is "ready at any cost" to stay in power. Meanwhile, U.S. President Donald Trump has renewed threats to strike Iran's power plants.

Tehran

Trump continues Iran threats amid hopes for peace

Israeli Prime Minister Benjamin Netanyahu, Trump's partner in attacking Iran, said more than half of his military aims had been achieved, but both leaders refused to put a timeline on an operation that has ignited a month-long regional war and jolted global markets.

Jerusalem

Netanyahu says Iran war goals achieved 'beyond halfway point'

The White House said U.S. sanctions policy toward Cuba remains unchanged, even as a sanctioned Russian oil tanker was allowed to deliver fuel to the island on humanitarian grounds. The United States suspended Venezuela's oil exports to Cuba after American forces captured Venezuelan President Nicolas Maduro in early January.

Havana

U.S. says Cuba sanctions unchanged as Russian oil tanker allowed entry

About 90% of Iran’s crude oil exports leave the country via the small island in the Persian Gulf's north, much of it destined for China and other Asian markets.

Kharg

Trump threatens to obliterate Kharg Island if no deal reached soon

Iran issued a warning to the U.S., against a possible ground invasion as both sides continue to launch air and missile strikes. Holly Williams has the latest.

Iran warns against U.S. launching ground operation

Millions of people protested at "No Kings" rallies across the U.S. and Europe over the weekend against the Trump administration's policies and the war in Iran. Organizers estimate at least 8 million participated in more than 3,300 protests worldwide.

Millions protest Trump administration at 'No Kings' rallies

With Marines and the Army's 82nd Airborne Division amassing in the Middle East, President Trump on Air Force One wouldn't confirm if U.S. forces will head into Iran for a ground operation, only saying, "I just have lots of alternatives." It comes as members of both parties have voiced concerns.

Trump weighs sending U.S. forces into Iran for ground operation

Israel’s parliament on March 30 passed its annual budget in a marathon overnight session, ensuring that Prime Minister Benjamin Netanyahu’s government can complete its term until the fall. The opposition slammed the budget for increasing funding to Israel's ultra-Orthodox communities at a time when the country is facing soaring costs over its war in Iran.

Knesset approves record defense spending bill

A Russian oil tanker is poised to deliver some much-needed crude oil to Cuba. The Anatoly Kolodkin is expected to dock in the western port of Matanzas imminently, according to shipping tracker MarineTraffic. This comes after Donald Trump appears to have reversed the US blockade of the island nation.

Cuba to receive shipment of Russia oil after U.S. lifts pressure

Media reports suggest the Pentagon is preparing for possible ground operations in Iran, though the White House says no decision has been made. The prospect of U.S. troops on the ground has sparked concern about the potential for a risky new phase in the conflict.

See The Full Story

Global Tariffs