Tariffs Pushed Prices Up. Why Retail and Industrial Investors Shouldn't Expect a Quick Reversal
U.S. tariff policy has been unpredictable, which is a big problem for companies and consumers alike. Given the uncertainty, it is difficult for a manufacturer to make long-term plans. That, in turn, is likely to lead to price increases caused by tariffs being sticky. But the truth is, inflation is generally sticky, and companies and consumers shouldn't expect a quick reversal of the impacts of tariffs. Here's what you need to know. In the third quarter of 2026, industrial giant Caterpillar (NYSE: CAT) reported that tariff costs amounted to $600 million. That was roughly in line with the impact in the third quarter of 2025. At the same time, the company recognized $128 million in tariff recoveries in the third quarter of 2026. There are a lot of moving parts, but the big picture is that tariffs are still a big issue for the heavy equipment manufacturer. Image source: Getty Images. Continue reading