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"Instead of trying to lower the cost of living, he's doubling down on his plans to give massive tax breaks to billionaires and giant corporations," said one Trump critic.
As the U.S. Department of Labor released its monthly consumer price index report on Wednesday, President Donald Trump's new tariffs for steel and aluminum imports took effect, highlighting his threat to the economy and working-class Americans.
The CPI, "a key gauge of inflation, showed that prices rose by 2.8% in February from a year earlier, driven by price relief from airfares and gas," The Washington Postreported. "That was cooler than the 3% annual gain reported for January and an unexpected signal of progress in combating high inflation."
While gasoline prices fell 1.0% and airline fares dropped 4%, the cost of food and shelter rose 0.2% and 0.3% respectively. The bird flu continued to drive up egg prices, which jumped 10.4%. The report adds, "Indexes that increased over the month include medical care, used cars and trucks, household furnishings and operations, recreation, apparel, and personal care."
The White House celebrated the inflation data, but economists were quick to point out that the numbers don't account for the latest developments in Trump's trade war: the new tariffs taking effect on Wednesday—after chaos-causing mixed messages from the president on Tuesday—and Canada and Europe's swift retaliatory measures.
"It's a classic head fake," Joe Brusuelas, chief economist at RSM, told the Post. "Going forward, tariffs are going to increase the costs of manufacturing in general and autos in particular."
Chris Low, chief economist at FHN Financial, similarly toldReuters that "trade wars are expected to raise prices in future inflation reports," though he also said the odds that the Federal Reserve can cut interest rates "again this year once the smoke from the tariff back-and-forth clears increased today nonetheless."
Trump's trade policies and other recent decisions, including letting billionaire Elon Musk gut the federal government, have elevated fears of a recession—which one economist suggested naming after the president—and even sparked speculation that he is tanking the economy on purpose.
In a Wednesday statement about the CPI report, Groundwork Collaborative chief of policy and advocacy Alex Jacquez said that "while families are still struggling to put food on the table and a roof over their head, the administration's response is that they should raise their own chickens in their backyards."
"Every economic indicator suggests that President Trump has us barreling toward a recession and stagflation. But instead of trying to lower the cost of living, he's doubling down on his plans to give massive tax breaks to billionaires and giant corporations," Jacquez added, referring to congressional Republicans' efforts to send Trump legislation that would fund tax giveaways by slashing Medicaid and the Supplemental Nutrition Assistance Program (SNAP).
In addition to Jacquez's comments, Groundwork and Data for Progress also released a poll showing that over a fifth of U.S. voters across the political spectrum are most frustrated with rising grocery costs. Another 10% are most frustrated with high bills for utilities like electricity, gas, and water. They were followed by around voters frustrated with out-of-pocket healthcare costs, rent or mortgage, or health insurance premiums.
Groundwork Collaborative warned that "Trump's threat of new tariffs risks making the housing crisis worse. By driving up the cost of construction materials, his trade war with Canada could shrink the supply of new housing, keeping overall prices high. That, in turn, forces the Federal Reserve to keep interest rates elevated, making mortgages more expensive."
The think tank also stressed that the Trump administration is "destroying affordable healthcare" by fighting to cut Medicaid and Medicare, reinstate work requirements, and limit Affordable Care Act enrollment; "raising energy bills" by freezing funds for clean energy projects while advocating for planet-wrecking fossil fuels; and "making groceries more unaffordable" by pushing SNAP cuts "instead of tackling corporate price gouging and market consolidation in the food industry."
Food & Water Watch similarly responded to the new CPI data by calling out failures to crack down on corporate price gouging—as detailed in the group's report from last week titled, The Rotten Egg Oligarchy.
"Record-high egg prices have everything to do with corporate greed," Food & Water Watch research director Amanda Starbuck said Wednesday. "While skyrocketing prices transform eggs into a luxury item, the food monopolies are seeing green. President Trump needs to get serious about lowering American food prices—starting with cracking down on the food monopolies exploiting the worsening bird flu crisis for profit."
A new Food & Water Watch report details how "corporations use the worsening bird flu crisis to jack up egg prices, even as their own factory farms fuel the spread of disease."
The nation's largest egg producers would have American consumers believe that avian flu and inflation are behind soaring prices, but a report published Tuesday shows corporate price gouging is the real culprit driving the record cost of the dietary staple.
The fourth installment of Food & Water Watch's (FWW) Economic Cost of Food Monopolies series—titled The Rotten Egg Oligarchy—reports that the average price of a dozen eggs in the United States hit an all-time high of $4.95 in January 2025. That's more than two-and-a-half times the average price from three years ago.
"While egg prices spiral out of reach, making eggs a luxury item, Big Ag is profiting hand over fist," FWW research director Amanda Starbuck said in a statement. "But make no mistake—today's high prices are built on a foundation of corporate price gouging. Our research shows how corporations use the worsening bird flu crisis to jack up egg prices, even as their own factory farms fuel the spread of disease."
FWW found that "egg prices were already rising before the current [avian flu] outbreak hit U.S. commercial poultry flocks in February 2022, and have never returned to pre-outbreak levels."
Furthermore, "egg price spikes hit regions that were bird flu-free until recently," the report states. "The U.S. Southeast remained free of bird flu in its table egg flocks until January 2025, and actually increased egg production in 2022 and 2023 over 2021 levels. Nevertheless, retail egg prices in the Southeast rose alongside January 2023's national price spikes."
"The corporate food system is to blame for exacerbating the scale of the outbreak as well as the high cost of eggs," the publication continues. "Factory farms are virus incubators, with the movement of animals, machines, and workers between operations helping to spread the virus."
"Meanwhile, just a handful of companies produce the majority of our eggs, giving them outsized control over the prices paid by retailers, who often pass on rising costs to consumers," the paper adds. "This highly consolidated food system also enables companies to leverage a temporary shortage in one region to raise prices across the entire country."
Cal-Maine, the nation's top egg producer, enjoyed a more than 600% increase in gross profits between fiscal years 2021-23, according to FWW. The Mississippi-based company did not suffer any avian flu outbreaks in fiscal year 2023, during which it sold more eggs than during the previous two years. Yet it still sold conventional eggs at nearly three times the price as in 2021, amounting to over $1 billion in windfall profits. Meanwhile Cal-Maine paid shareholders dividends totaling $250 million in 2023, 40 times more during the previous fiscal year.
The report highlights how factory farming creates ideal conditions for the spread of avian flu, a single case of which requires the extermination of the entire flock at the affected facility, under federal regulations.
"These impacts cannot be understated," FWW stressed. "Today's average factory egg farm confines over 800,000 birds, with some operations confining several million. This magnifies the scale of animal suffering and death, as well as the enormous environmental and safety burden of disposing of a million or more infected bird carcasses."
Citing U.S. Department of Agriculture (USDA) figures, The Guardianreported Tuesday that more than 54 million birds have been affected in the past three months alone.
Egg producers know precisely how the supply-and-demand implications of these outbreaks and subsequent culls can boost their bottom lines. Meanwhile, they play a dangerous game as epidemiologists widely view a potential avian flu mutation that can be transmitted from birds to humans as the next major pandemic threat—one that's exacerbated by the Trump administration's withdrawal from the World Health Organization and cuts to federal agencies focused on averting the next pandemic.
"We cannot afford to place our food system in the hands of a few corporations that put corporate profit above all else."
So far, 70 avian flu cases—one of them fatal—have been reported in the United States, according to the U.S. Centers for Disease Control and Prevention. However, under Trump, the CDC has stopped publishing regular reports on its avian flu response plans and activities. The USDA, meanwhile, said it "accidentally" terminated staffers working on avian flu response during the firing flurry under Elon Musk's Department of Government Efficiency. The agency is scrambling to reverse the move.
"We cannot afford to place our food system in the hands of a few corporations that put corporate profit above all else," the FWW report argues. "Nor can we allow the factory farm system to continue polluting our environment and serving as the breeding ground for the next human pandemic."
"We need to enforce our nation's antitrust laws to go after corporate price fixing and collusion," the publication adds. "We also need a national ban on new and expanding factory farms, while transitioning to smaller, regional food systems that are more resilient to disruptions."
That is highly unlikely under Trump, whose policies—from taxation to regulation and beyond—have overwhelmingly favored the ultrawealthy and corporations over working Americans. Meanwhile, one of the president's signature campaign promises, to lower food prices "on day one," has evaporated amid ever-rising consumer costs.
According to the USDA's latest Food Price Outlook, overall food prices are projected to rise 3.4% in 2025. Eggs, however, are forecast to soar a staggering 41.1% this year—and possibly by as much as 74.9%.
"If President Trump has any interest in fulfilling his campaign pledge to lower food prices," Starbuck stressed, "he must begin by taking on the food monopolies exploiting pandemic threat for profit."
"While he is acting aggressively to lower taxes for the wealthy, we haven't seen that zeal to help the working class," said one union leader.
As Republicans in Washington, D.C., work to give the wealthy more tax cuts by targeting programs that help millions of American families, critics on Friday called out U.S. President Donald for his "broken promises to working people."
The American Federation of Teachers (AFT) and MomsRising announced in a Friday statement that they partnered up for an electronic advertisement in New York City's Times Square that is set to run 20 hours a day for two weeks.
AFT president Randi Weingarten said that even as Trump "campaigned on the promise to lower grocery prices," his actions since taking office show his true priorities.
"While he is acting aggressively to lower taxes for the wealthy," said Weingarten, "we haven't seen that zeal to help the working class."
"Has the president lowered food prices? No. Has he reduced inflation? Has he spurred job growth? No," she continued. "Instead, he reserves his real efforts for the billionaire class: cutting taxes on the rich, slashing federal funding for kids, and firing dedicated public servants, while ignoring the plight of working Americans who need his help the most."
"Americans deserve a leader who is listening to our concerns and working to make our lives better."
As The New York Timesnoted on the eve of Trump's January inauguration, he spotlighted the high costs of groceries during a campaign stop in Erie, Pennsylvania crowd last September and told the crowd that "we're going to get the prices down."
The new 10-second ad displayed at W. 43rd St. and Broadway asks, "Are your grocery bills lower?" and points out that a dozen eggs cost $6.55 the day Trump took office versus $7.55 today.
The Trump administration's antitrust enforcers face mounting calls to crack down on U.S. egg producers accused of taking advantage of the bird flu crisis to hike prices, boost profits, and consolidate market power.
"This billboard is not just an ad but a sign that the American people—moms, educators, healthcare workers, and more—are working together to ensure the president keeps his word on the real-life kitchen-table issues like the cost of eggs," said Weingarten. "No matter who you voted for, Americans deserve a leader who is listening to our concerns and working to make our lives better."
The ad's debut came after Republicans in the U.S. House of Representatives advanced their budget resolution—which would slash healthcare and food aid to fund $4.5 trillion in tax giveaways to rich people and corporations—out of committee Thursday night, as Trump and the chair of his Department of Government Efficiency, billionaire Elon Musk, fired thousands of federal workers.
"What's happening in our country is no laughing matter to America's moms, who want the lawmakers we elect to reduce the cost of eggs, food, childcare, housing, and other essentials—not create chaos and hardship by handing the reins of government to unaccountable billionaires who are looking out only for themselves," said MomsRising executive director Kristin Rowe-Finkbeiner.
"This billboard is a reminder that Trump's fealty to the richest 1% can have a devastating impact on your safety, your family's future, and your wallets," she added. "The chaotic beginning of Trump's second term makes it easy to forget, but we have not forgotten his promise to address rising food costs for families across the nation. Moms, kids, and families deserve better."
Alex Jacquez, chief of policy and advocacy at Groundwork Collaborative, argued in a Friday opinion piece for MSNBC that "it may be unfair to hold a new administration accountable for broad-based price increases mere weeks after taking office. But Trump invited the criticism. Weeks before the election, he posted on his social media platform, Truth Social, that the prices of eggs and gas are 'OUT OF CONTROL!!!' and he promised that on 'DAY ONE' he would 'SLASH prices–so fast it'll make their heads spin."
"He consistently claimed he had a plan to bring down prices; now it's clear that he's stiffing the people he promised like so many lawyers and contractors before them," Jacquez wrote. "Americans are already taking notice. In a poll this week by YouGov/CBS News, a whopping 66% of voters said Trump's focus on lowering prices was 'not enough.'"
"Far from being geared to bring prices down, Trump's early policy priorities are likely to add to inflation," he continued, warning about the impacts of Trump's tariff agenda, the House Budget Committee's Thursday resolution, and Musk's "war on government workers, including the inspectors and scientists who monitor chickens—as an avian flu outbreak wreaks havoc on our egg supply."
Jacquez stressed that "if Trump were serious about lowering prices, then he'd be working to ensure that the wealthy and big corporations pay their fair share in taxes, not receive a massive giveaway. He'd be cracking down on monopolies and large corporations that use their market power to profit off consumers, not shutting down the agency that protects them."
"Unfortunately, it appears that Trump has pulled off another con job," he concluded. "Only this time, instead of the Atlantic City casinos left holding the bag, it's American families."