Majority of Retailers Plan to Raise Prices Over the Next Six Months, Inviting Consumer Ire

KPMG survey finds 55% of U.S. retailers plan price increases in 2026 as margins erode and tariffs bite, with some firms prepared to raise prices by up to 15% over six months. The share of businesses passing on more than half of tariff costs to consumers rose to 34%; sourcing costs have climbed over 25%. The Supreme Court’s IEEPA decision and the administration’s new 10% global baseline tariff plus Section 301 probes have created ongoing tariff uncertainty. Companies report weaker sales (82% down in foreign sales, 68% domestic) and rising reshoring activity (26% in planning/execution). Market impact: persistent tariff- and supply-driven inflationary pressure could support commodity-linked assets (e.g., gold/XAUUSD) and influence central bank/policy reactions, while weighing on retail margins and consumer demand.