President Donald Trump's campaign included pledges to address inflation and reduce the cost of living for Americans "starting on day one." This report examines changes in grocery, electricity, and car prices approximately one year into his term, alongside economic analyses and White House responses.
Groceries
Promises and Price Changes
In August 2024, President Trump stated his intention to "immediately bring prices down, starting on Day One." Official data for the 12 months leading to September 2025, which includes a four-month period when Joe Biden was president, indicates grocery prices rose by 2.7%. Specific items saw sharper increases: coffee at 18.9%, ground beef (minced beef) at 12.9%, and bananas at 6.9%. Since President Trump took office in January, grocery prices have increased each month, with one recorded decline in April.
Economic Analysis and Factors
Professor David Ortega, a food economics expert, noted that "The president of the United States has very little control over the price of food, especially in the short term." He identified Trump's tariffs as a factor, citing a 50% tariff on coffee from Brazil, which supplies a third of US coffee. Ortega also suggested that the administration's immigration policies could impact farming, where an estimated 40% of workers are undocumented, potentially leading to higher wages and subsequent price increases, though quantifying this impact is currently difficult.
Diane Swonk, chief economist for KPMG, concurred that tariff and immigration policy changes have contributed to higher costs. She added that other factors, such as "climate issues for a very bad growing season" for coffee, exacerbated by tariffs on Brazil and Colombia, also played a role.
White House Response and Specific Item Variations
A White House official stated that President Trump does not control South American weather patterns and that coffee price increases were a global trend, noting that global prices peaked in February and are now declining. The official also mentioned that the president was addressing rising beef prices by temporarily increasing imports.
While overall grocery prices have risen, some items have become less expensive. The price of a dozen large eggs, which was $4.93 in January, reached a record high of $6.23 in March due to bird flu outbreaks, but subsequently fell to $3.49. White House Spokesman Kush Desai commented that "President Trump's supply-side policies are taming Joe Biden's inflation crisis." Other items that saw price decreases over the past 12 months include butter and margarine (-2%), ice cream (-0.7%), and frozen vegetables (-0.7%).
Electricity
Promises and Price Changes
At an August 2024 rally, President Trump pledged to "slash energy and electricity prices by half within 12 months, at a maximum 18 months." Since he became president, average residential electricity rates have increased from 15.94 cents per kWh in January 2025 to 17.62 cents per kWh in August 2025, according to the US Energy Information Administration.
Economic Analysis and Factors
Professor James Sweeney from the Stanford Precourt Institute for Energy stated that it "was technically impossible [to halve prices] at the time he made the promise," explaining that electricity prices reflect both generation and delivery costs. Prof. Sweeney attributed the increase to a surge in demand, largely from data centers used for artificial intelligence, and supply issues. He also cited cuts to renewable energy subsidies and tariffs on imported steel, which increase the cost of building new power generators, as contributors to higher prices.
Diane Swonk also noted that the AI boom is driving up electricity prices, which she believes "exacerbates inequality because consumers that have more access to solar panels and renewables tend to be wealthier households."
White House Response
A White House official stated that President Trump is expanding coal, natural gas, and nuclear power, asserting that this is "the only viable way to meet the growing energy demand and to lower energy prices."
Cars
Promises and Price Changes
During a September 2024 campaign rally, President Trump stated, "We're going to get the prices down… groceries, cars, everything." However, data from Kelley Blue Book indicates that the average price of a new car reached over $50,000 for the first time in September, up from $48,283 in January.
Economic Analysis and Factors
Erin Keating from Cox Automotive explained that car prices typically increase by 2-3% annually. She identified tariffs as the primary inflationary factor in the automotive industry over the past 12 months, noting that new car prices are increasing by approximately 4% per year, with tariffs contributing at least one percentage point. Keating also suggested that manufacturers are currently absorbing some of these tariff-related costs but anticipates that prices will rise further in 2026. She also mentioned that tax breaks in Trump's spending bill could incentivize new car purchases.
White House Response
Regarding rising car prices, a White House official stated that the administration had taken regulatory actions to "reverse the left's radical energy scam and save billions annually."
Gasoline
The provided article did not include information or data regarding gasoline prices.