President Trump's newly announced tariffs are expected to raise prices for American consumers, with immediate increases on imported grocery items like avocados, bananas, coffee and tea. Larger price hikes on goods such as cars, furniture and electronics may follow in the coming weeks as inventories run out and manufacturers adjust.

Ryan Monarch, assistant professor of economics, tells the New York Post that products whose import is “closer to the final consumer” such as clothing, apparel, furniture, toys and shoes can expect to see higher prices “fairly quickly, like in the next month or two.”

In the Newsweek article, “Elon Musk Has Key Advantage To Deal With Donald Trump Tariffs,” Monarch says Tesla has an advantage over its competitors but won't go completely unscathed by the tariffs.

“They are not unaffected by the tariffs, but they kind of have a head start on a number of their competitors, especially in the EV sector, in terms of locating their supply chain and getting their inputs from products in the U.S.,” Monarch says.

Musk's role in the Trump administration as head of the Department of Government Efficiency (DOGE) may also be beneficiary to the company, says Monarch.

“Elon Musk's involvement in the government puts his company in a good position to ask for exemptions or to look for a way around these tariffs,” he says. “And that's just another reason why economists think tariffs are destructive economic policies. Because it encourages this type of, ‘Well, I'll give you an exemption but not you.’”