by Karla Ciaglo
HARTFORD — With U.S. tariffs at their highest levels since 1910, according to a new Yale budget report, and the cost of basic goods steadily rising, Sen. Richard Blumenthal and Attorney General William Tong are demanding federal action to curb corporate price gouging — which they say is deepening economic strain for Connecticut families.
Speaking Monday at The Grocery on Broad, a nonprofit grocer in Hartford’s Frog Hollow neighborhood, Blumenthal and Tong threw their support behind the Price Gouging Prevention Act. The bill, which Blumenthal co-sponsored, would give the Federal Trade Commission and state attorneys general broader authority to investigate and penalize companies for excessive price hikes during national emergencies or supply chain disruptions.
“This is not inflation — this is exploitation,” Blumenthal said. “These tariffs are being used as cover to raise prices far beyond what’s necessary, and it’s working families who are paying the price.”
According to the Yale report, the average U.S. household is paying $2,400 more each year due to tariffs. The average tariff rate sits at 18.7%, the highest in more than a century. Food costs are projected to rise 4.1% in the short term and 3.3% overall, while apparel prices have surged as much as 40%. Lower-income families are losing the equivalent of 4% of their annual income, according to the data.
Ben Dubow, executive director of Forge City Works, which runs The Grocery on Broad, said his team sees the impact daily.
“We’re seeing cost increases across the board — not because of actual shortages, but because companies know they can get away with it,” he said. “That’s especially dangerous for families living paycheck to paycheck.”
Dubow described the current environment as a “perfect storm” of reduced SNAP benefits, persistent inflation, and ongoing supply chain problems combining to hit low-income families hardest.
“These issues layer on top of each other. The pricing goes up, the availability gets stressed, and the consumer feels all of it — at once,” he said.
Tong criticized comments from billionaire Howard Lutnick, who dismissed concerns over Social Security payments by claiming his mother-in-law “won’t even notice.”
“I guarantee you that people notice every single day when they go into their local grocery store or big-box stores,” he said. “It hurts.”
Blumenthal added that while the wealthy may be insulated from the impact, the average American was not.
“For Trump’s billionaire buddies, no big deal,” he said. “But for the average American, it’s pain.”
According to Blumenthal, this economic pressure is leading not just toward inflation — but potential recession.
“The increased cost of construction materials, mortgage rates, and investment expenses will depress the economy.” he said
Both officials stated that the problem isn’t just price spikes — it’s the abuse of market power.
Blumenthal said the bill clearly distinguishes between normal fluctuations and exploitation.
“A price spike can be caused by weather events or supply chain issues,” he said. “But gouging is when a company uses those events as an excuse to raise prices far beyond what’s justified, simply because they can. This bill redefines and clarifies that.”
Tong said anti-gouging enforcement has often hit a wall.
“There was a price gouging conspiracy over eggs,” he said. “We started to act alongside New York, but as they went up the chain to wholesalers and producers they had to stop because they didn’t have the authority.”
Tong noted that Connecticut recently passed a law expanding state authority to pursue gouging beyond retailers.
“It’s often not the retailer — it’s the wholesaler or manufacturer,” he said.
But even with new state powers, Tong said the federal legislation was essential.
“Senator Blumenthal’s bill lets us go after abusive pricing whenever it happens — not just during emergencies,” he said. “It closes the loopholes big players have relied on.”
Tong also discussed his office’s legal fight against tariffs, filing suit in the Court of International Trade over what he called the “tariff madness” of the Trump administration.
“We won a permanent injunction. The court ruled the president does not have emergency power to impose tariffs unilaterally,” he said.
The case is now on appeal and expected to be heard this fall.
Blumenthal issued a challenge for lawmakers who call the bill political posturing.
“Go to the grocery store and buy a tomato,” he said. “Talk to your constituents. See what they’re paying.”