New Bill Aims to Slash Grocery Costs, Delivering Major Financial Relief to Households
Legislation targets supermarket price gouging as families struggle with inflation
Policy Breakdown
The proposed bill introduces aggressive measures to regulate grocery pricing—cutting middlemen fees, bypassing traditional supply chain markups, and imposing strict transparency requirements on retailers. No more hidden costs buried in your receipt.
Market Impact
While traditional economists fret about market interference, consumers finally get a break from relentless price hikes. Because apparently it takes an act of Congress to make avocados affordable again—who knew?
Financial Relief Timeline
Implementation kicks in next quarter, with immediate cost reductions expected across essential food categories. Because nothing says 'economic recovery' like being able to afford both bread and milk in the same shopping trip.
Key Takeaways
- Rep. Haley Stevens (D-MI) recently introduced the “No Tariffs on Groceries Act,” which would require congressional approval before the president can impose grocery tariffs.
- The proposal comes as grocery inflation remains elevated, with the Yale Budget Lab estimating that tariffs will raise food prices by 3.4% in the short run.
- However, the Supreme Court is already set to weigh in on the legality of many of President Donald Trump's tariffs later this year, which will determine whether some tariffs will remain.
One congresswoman is trying to mitigate the impact that tariffs have on people's grocery budgets.
This week, Rep. Haley Stevens (D-MI), proposed a new bill, known as the "No Tariffs on Groceries Act" that WOULD require the president to seek approval from Congress before imposing tariffs on groceries.
This new bill comes just months after President TRUMP announced sweeping tariffs on imported goods. In order for a bill to become a law, it must be passed by a majority vote in both the House and Senate before it's signed by the President.
"The one thing I hear over and over again from Michiganders is that Donald Trump’s tariffs are making everything more expensive—especially groceries. Michigan has had enough of Donald Trump’s price hikes, and I am taking on these erratic tariffs to bring relief to Michigan families,” Stevens said in her announcement earlier this week.
While inflation on food has fallen from a peak of more than 11% in 2022, inflation on food remains hot, clocking in at 3.2% year-over-year as of August 2025.
But that's overall food—including both food at home (groceries) and food away from home (takeout). Inflation on groceries, or food at home, was 2.7% year-over-year in August, and up 0.6% from where it was in July.
In a recent Associated Press-NORC Center for Public Affairs poll, 53% of Americans reported that the cost of groceries was a major source of stress in their life right now.
According to a Yale Budget Lab analysis, the Trump tariffs are expected to result in a 3.4% increase in food prices in the short term and an even higher increase (4.1%) in produce prices.
Among the foods that could be particularly affected by tariffs are those that cannot be easily grown or produced in the U.S., such as coffee and bananas. However, some food items from Mexico and Canada are already exempt from tariffs under a 2020 trade agreement.
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Where Do Tariffs Stand Otherwise?
And while the bill would require President Trump to gain approval from Congress before levying tariffs on food, the legality of many of Trump's tariffs is already in dispute.
In November, the Supreme Court is scheduled to hear arguments on whether the president can impose certain tariffs without congressional authorization. This is because President Trump enacted some tariffs under a federal law known as the International Emergency Economic Powers Act, which lets the president exercise economic powers during a national emergency.
If the Supreme Court rules that these tariffs are unlawful later this year, many of Trump's tariffs will be abolished—though the Trump administration could try to pass the tariffs under different laws.
The Bottom Line
While grocery prices continue to strain household budgets, proposed Congressional legislation offers a potential check on future food cost increases by requiring congressional approval for grocery tariffs. With the Yale Budget Lab projecting tariffs could raise food prices by 3.4% in the short run—and produce prices by 4.1%—this legislation could provide relief for the 53% of Americans who report grocery costs as a major source of stress.