Will President Trump’s Tariffs “Ruin Christmas” in New York?

It's time for a fact check, New York.

Keeping up to date with everything going on with the economy is starting to feel like an Olympic sport.

This inundation of reports about tariffs, inflation, job market performance, stock markets, and more can become overwhelming. This is, unfortunately, causing some people to swallow misinformation and panic.

It's May, But We're Already Talking about Christmas

While Christmas is beautiful, it is also stressful in many ways. For families, the cortisol starts flowing the moment their children heap all their wants and desires onto their Christmas wish lists.

But some are already feeling the pressure due to all this talk over how President Trump's tariffs will reportedly "ruin" Christmas.

Isaac Larian, president and CEO of MGA Entertainment, was among the first to spark concerns after telling CNN tariffs would make it "absolutely impossible" for America to manufacture certain toys.

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Then Amazon reportedly kicked things up a notch when floating the idea of adding "tariff transparency" to their pricing. That move was met with ire and disdain from Trump's administration.

Around that time, Walmart was dealing with rumors that they'd start implementing a "tariff surcharge" on products.

Both companies have since dismissed the concepts, according to the Wall Street Journal.

This brings us to what could happen come Christmastime.

Will Trump's Tariffs Impact Christmas Costs This Year?

A report from the New York Times looked into the possibility of parents paying more to fill their child's Christmas stocking.

NYT explained China, who exports a large portion of holiday toys, begins manufacturing and shipping them to the United States somewhere in the late summer and early fall.

However, with China now hit with a 145% tariffs, this could complicate prices.

Greg Ahearn, chief executive of the Toy Association, also warned NYT that tariffs could cause "a toy shortage this holiday season."

The Toy Association is among several retailers asking the Trump administration to reconsider implementing tariffs so quickly and to instead opt for a 24-month reprieve so businesses can get their affairs in order.

In the meantime, it's recommended those who may be concerned about affording Christmas presents this year to hit the stores early. This would ensure the items your kid really want for the holiday are safely tucked under the tree this December.

Other Christmas Items That Could Be Impacted by Tariffs

It's not just toys that could be more costly this Christmas.

Reuters said 87% of all Christmas decorations in stores come from China. This includes ornaments, fancy soap holders, garlands, bows, lights, and more.

Adding insult to injury, Nature Conservatory looked into the cost of Christmas trees, which have skyrocketed since the pandemic.

Because the cost of real Christmas trees are up, more Americans are opting to use artificial trees to save money.  This year, the opposite may be true because nearly 90% of all artificial trees come from China.

What Is the Truth: Is Christmas Ruined This Year Because of Tariffs?

There is no way to definitively say if Christmas will or will not be harder to afford this year solely due to tariffs.

There are several factors contributing to rising prices and they have been around far before President Trump began uttering the terrible "t" word.

Read More: Inflation to Make New Yorkers Spend Less on Xmas This Year

Inflation, supply chain issues, hiring struggles, and shortages have caused prices from the grocery store to the gas pump to soar since the pandemic.

Press Secretary Karoline Leavitt said in a public statement obtained by WIBX, "It’s no surprise the leftovers of Biden’s economic disaster have been a drag on economic growth."

Leavitt indicated that the tide will turn for American consumers:

Robust core GDP, the highest gross domestic investment in four years, job growth, and trillions of dollars in new investments secured by President Trump are fueling an economic boom and setting the stage for unprecedented growth as President Trump ushers in the new Golden Age.

However, if tariffs do continue to spin bad news for the current administration, it is possible a pause could be introduced. Additionally, the Senate can pass legislation taking away the president's power to impose tariffs.

President Trump is using a 1977 law that grants him the ability to impose tariffs during a "national emergency."  Congress can amend the law stating there is no active emergency, thus cancelling tariffs.

Will it get to that point? It is currently unclear Democrats have the support in either chamber to pass the resolution. Sentiments may change should tariffs increase costs for consumers.

However, Trump is likely to veto any resolution that could undo his tariffs. In order to bypass his veto, a two-thirds majority in both chambers would be needed.

In short, Christmas is too many months away to confidently say what the holiday shopping season will look like.

Read More: Utica University Professor Explains What Tariffs Are

Yes, there are articles out there calling for fire, brimstone, and the annihilation of Santa's jolly red sleigh. It's your job as an educated American to look at all the facts (including from the other side of the aisle) and make an educated decision about what's best for you.

For those who are concerned that prices may be high this year, a good recommendation would be to shop local and support small businesses in the area.