Summary

Requires sellers to show consumers how much of a product’s price is due to certain presidentially‑imposed tariffs by labeling that amount as a “tariff surcharge.” Small businesses are exempt. The Federal Trade Commission will write rules and enforce the requirement using its existing authorities. The rule applies to sales occurring 30 days after the law is enacted and covers tariffs imposed by the President on an emergency or discretionary basis that took effect on or after January 20, 2025.

Key Points

• Sellers must display the portion of price that is due to covered presidential tariffs as a "tariff surcharge."
• Small businesses are exempt from the disclosure requirement.
• Covered tariffs are those imposed by the President on an emergency or discretionary basis effective on or after January 20, 2025.
• The Federal Trade Commission will write implementing rules and use its existing authority to enforce the requirement.
• The disclosure rule applies to sales occurring 30 days after enactment.
• The law requires labeling and disclosure only; it does not change tariff policy, tax rules, or create new spending programs.
• Sellers will need systems and accounting to identify and display tariff amounts, which may create administrative costs.
• Consumers will see a clearer breakdown of prices that are attributable to presidential tariff actions.

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