How Trade Policies Are Making Your Independence Day More Expensive

As Americans gear up for Fourth of July celebrations, a congressional analysis reveals that the cost of hosting a traditional cookout has risen significantly since tariffs were imposed earlier this year. The report highlights a 12.7% annualized increase in the total cost of a typical grocery trip for a barbecue since April, reflecting the broader impact of trade policies on everyday consumer goods.

One of the most noticeable price jumps has been in popular canned beers. Six-packs of Miller Lite and Coors Light have each seen prices climb by more than 13% since the tariffs took effect. This increase follows a 25% tariff on imported canned beer and empty aluminum containers announced by the Trump administration in early April. The tariff primarily affects companies like Constellation Brands, which sources much of its beer from Mexico, including leading brands such as Modelo and Corona. With aluminum cans accounting for 64% of beer distribution in 2023, the tariff has put upward pressure on prices for consumers.

Outdoor furniture, another staple of summer gatherings, has also experienced price increases. Manufacturers with factories outside the U.S. began raising prices by 3% to 5% starting in March, anticipating the impact of tariffs on imported goods. This has led to fewer promotions and discounts, lower inventory levels, and a sense of urgency among consumers to buy before further price hikes or stock shortages occur. Retailers are adjusting to these changes by scaling back on-hand stock and encouraging a buy-now approach.

Grilling equipment and accessories have not escaped the tariff effects either. Many grill components, such as metal parts, heat sensors, and electronic elements, are imported from countries like China, Vietnam, and Mexico. Tariffs on these imports have increased manufacturing costs, which manufacturers have passed on to consumers through higher prices. Additionally, tariffs on raw materials like steel and aluminum have driven up the cost of fabrication and assembly for grills. This is especially true for premium grills that use stainless steel or custom metalwork. Manufacturers sourcing materials domestically may have a cost advantage, but overall, consumers face higher retail prices for grills and related accessories.

The Federal Reserve’s latest Monetary Policy Report to Congress notes that while the full impact of tariffs on U.S. consumer prices remains uncertain, there are signs tariffs have contributed to recent goods inflation. Price increases have been observed in household appliances and certain consumer electronics, though inflation in car prices has been less pronounced despite tariff hikes. The report suggests that the effects of tariffs are only beginning to be felt and that more time is needed to fully assess their impact on the economy.

Looking ahead, the fireworks industry is warning of potential challenges for the 2026 Fourth of July celebrations. Nearly all consumer fireworks and most professional display fireworks used in the U.S. come from China and are subject to tariffs ranging from 25% to 145%. Industry leaders caution that if tariffs escalate to the higher end of this range, it could severely disrupt supply chains, increase costs, and even lead to canceled shows. Already, sales of fireworks have surged this year as consumers try to purchase before prices rise further or inventory runs out.

Tariffs introduced under the Trump administration have had a tangible effect on the prices of key Fourth of July barbecue items, from beer and outdoor furniture to grills and fireworks. Consumers are paying more for these goods, and industries reliant on imports face ongoing uncertainty as trade policies continue to evolve.

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