Who Really Pays the Tariffs? U.S. Firms and Consumers, Through Higher Prices (2021)
taxfoundation.org

... When the Trump administration imposed tariffs on various imports in 2018, the stated purpose was to boost U.S. industries and punish foreign exporters. But rather than hurting foreign exporters, the economic evidence shows it is American firms and consumers hardest hit by the Trump tariffs.

The tariffs resulted in higher prices for a wide variety of goods that U.S. consumers and businesses purchase. The Biden administration has continued and even increased many of the Trump tariffs"drawing some attention as inflation rises. And while tariffs do raise prices for American consumers, their impact on economy-wide inflation is relatively small.

When the U.S. imposes tariffs on imports, U.S. businesses directly pay import taxes to the U.S. government on their purchases from abroad.

The economic burden of the tariffs, however, could fall on others besides the U.S. business directly paying the tax, including foreign businesses selling goods to U.S. businesses (if foreigners lower their prices to absorb some of the tariffs), or U.S. consumers ultimately purchasing the goods (if U.S. businesses raise their prices to pass on the tariffs).

Historically, economists have generally found that foreign firms have absorbed some of the burden of tariffs by lowering their prices, meaning domestic firms and consumers haven't borne the entirety of higher tariffs in the past.

In contrast to past studies, however, new studies have found the Trump-Biden tariffs have been passed almost entirely through to U.S. firms or final consumers. ...