A former Trump advisor has changed his tune: tariffs are essentially a "hidden consumption tax" that could drag down the economy and jobs.

[Former Trump Advisor Changes Stance: Tariffs Are Essentially "Hidden Consumption Taxes," Potentially Dragging Down the Economy and Jobs] According to Mars Finance, on December 31st, conservative economist John Moore, who served as a senior economic advisor during Trump's first term, publicly questioned the Trump administration's large-scale tariff policy, stating that it is essentially a "hidden tax" imposed on consumers, potentially dragging down economic growth and weakening jobs. Moore stated, "Tariffs are taxes, and taxes are never a good thing," a statement that contrasts sharply with his past support for trade protectionism. He pointed out that although tariffs are seen by the government as a tool to revitalize manufacturing and finance tax cuts, their costs are ultimately often passed on to consumers, pushing up prices and exacerbating inflation. Data from multiple research institutions shows that the new round of tariffs implemented in 2025 may increase the tax burden by approximately $1.2 trillion over the next decade, causing a decline in US GDP of about 0.4% and a loss of 344,000 jobs. Moore also acknowledged that the regressive nature of tariffs will have a greater impact on low- and middle-income families. Moore called for targeted and time-limited measures if tariffs continue, along with prompt tax cuts to offset their negative impact. His shift in stance is seen as a sign of deepening divisions within the Trump camp between free-market ideals and trade protectionism, adding uncertainty to the direction of US economic policy in 2026.