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Home » How Tariffs Are Straining Budgets at Thanksgiving
SCB FEATURE

How Tariffs Are Straining Budgets at Thanksgiving

An overhead view of a cooked turkey on blue serving plate sitting on a wood table.
Photo: iStock / AlexRaths
November 26, 2025
Nick Bowman, Senior Editor

Trump administration tariffs have ncreased the price of this year’s traditional Thanksgiving meal, pushing food costs higher and straining family budgets ahead of the holidays.

"When we talk about tariffs, we're not talking about an abstract policy — we're talking about real price increases on the foods that make up a traditional Thanksgiving dinner," said Kansas Farmers Union executive director Nick Levendofsky during a November 25 webinar. "Every added cost in the supply chain eventually shows up at the checkout line."

According to an analysis from economic think tank Groundwork Collaborative, a full Thanksgiving meal is nearly 10% more expensive in 2025 compared to last year, with the cost of some staples rising by more than half. That includes onions (up by 56%), spiral hams (49%), cranberry sauce (22%) and creamed corn (21%). A survey of 1,224 U.S. voters from policy pollster Data for Progress also found that 37% of Americans are stressed about Thanksgiving prices, while 25% are planning on smaller gatherings to save money.

Those added costs can be traced back through the country's agricultural supply chain, with U.S. farms relying on a range of imported materials that now face hefty tariff rates. Farm groups say those levies are driving up the price of essentials such as machinery parts, tools, insect netting and packaging, increases that squeeze producers long before Thanksgiving ingredients ever reach grocery store shelves. Since farms operate on razor-thin profit margins, "every price increase means tough choices," said Mary Carol Dodd, the owner of Red Scout Farm in North Carolina.

"When the price of everything it takes to grow vegetables goes up, then the price of vegetables on the holiday table goes up as well," she explained.

This is despite claims from the Trump administration that Thanksgiving meal costs have gone down this year, with President Donald Trump pointing to how Walmart's Thanksgiving meal bundle costs 25% less than it did in 2024. But as The Guardian points out, Walmart's "cheaper" Thanksgiving meal bundle this year also includes fewer items than it did in 2024, with other foods swapped out for smaller, less expensive alternatives.

Levendofsky also calls Trump's assertion regarding Thanksgiving prices misleading, as large grocers running discounts ahead of the holiday still means less money for farmers, who then have to charge even more to sell their crops to grocers down the line. Additionally, retailers are known to heavily discount Thanksgiving turkeys, as a way to get customers in the door to buy vegetables and sides that might not be similarly discounted. 

That dynamic explains why shoppers may see cheaper turkeys even as the overall cost of the holiday meal climbs, given that grocers often treat whole birds as so-called “loss leaders." While that strategy softens the blow for consumers on a single marquee item, it doesn’t change the underlying economics facing growers and processors upstream, nor does it offset the tariff-driven increases embedded in the rest of the Thanksgiving basket in 2025. 

The economic strain has even filtered down to food banks, which rely on a yearly uptick in donations that typically accompanies the holiday season. With tariffs in place against aluminum cans imported from China, it's made it more expensive for families to afford the canned foods they might otherwise donate, leaving many households less able to contribute to food banks at the very moment those organizations see a surge in demand. 

"There's a direct connection here, and something needs to be done," said Royal Food Import Corporation president Collin Tuthill.

Many food banks are turning to emergency purchases to fill gaps in their inventory, but higher packaging and commodity costs mean those dollars don’t stretch as far as they once did. Several networks have also reported that they are bracing for one of their toughest holiday seasons in years, with Seattle-based Food Lifeline likening the current economic situation to "going into another pandemic," according to the Washington State Standard.

For growers, grocers and families, the hope is that the holiday spotlight will draw attention to the mounting pressures that have quietly reshaped the cost of a Thanksgiving meal. But unless broader relief arrives, many warn that the forces driving this year’s higher prices won’t fade with the season.

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