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US President Donald Trump's tariffs are expected to increase food costs for consumers. Bank of America Securities food and beverage analyst Peter Galbo joins Morning Brief with Seana Smith to discuss the impact of tariffs on food products.
The analyst says two food categories are "most exposed" to tariffs: proteins and produce. For grocery stores, Galbo says tariffs will add additional pricing pressures as consumers are sensitive to food inflation. "These companies are either going to have to look to put in additional pricing or kind of take it on the margin hit."
He highlights the increased costs are likely to be passed on to consumers for coffee (KC=F), cocoa (CC=F), cattle, and chicken, which he calls the "four Cs."
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This post was written by Naomi Buchanan.