No GOUGE Act
Sponsors
Legislative Progress
In CommitteeMs. DeLauro (for herself, Ms. Craig, Ms. Ocasio-Cortez, Mr. McGovern, …
Summary
What This Bill Does
This bill prohibits companies from using tariffs as an excuse to raise prices beyond actual tariff-related costs. For 5 years after a tariff takes effect, businesses cannot raise prices on tariffed goods by more than the direct costs imposed by the tariff. The law applies to both imported final goods and US-assembled products containing tariffed components. It targets tariffs imposed since January 20, 2025, and even applies to merely 'planned' tariffs announced by administration officials.
Who Benefits and How
Consumers benefit from protection against excessive price increases that use tariffs as a pretext. Small businesses (under \ million in annual revenue) are exempt from the prohibition. The FTC receives new enforcement authority and must create a consumer complaint mechanism. State attorneys general can bring civil actions on behalf of residents. Foreign exporters face no direct impact from this law.
Who Bears the Burden and How
Large corporations (over \ million in revenue) cannot raise prices on tariffed goods beyond actual tariff costs - any increase for executive compensation or stock buybacks is explicitly excluded. Companies with over \ billion in revenue face a presumption of violation if they raise prices during 'tariff-related shock dates.' Companies must be prepared to prove with 'clear and convincing evidence' that price increases are justified by actual costs. FTC faces new enforcement obligations and must issue regulations, create consumer reporting systems, and submit annual enforcement reports.
Key Provisions
- Prohibits price increases on tariffed goods beyond actual tariff costs for 5 years
- Exempts businesses under \ million in annual revenue
- Creates presumption of violation for \B+ companies during tariff shock periods
- Excludes executive compensation and stock buybacks from allowable cost increases
- FTC enforcement with state AG parallel enforcement authority
Evidence Chain:
This summary is derived from the structured analysis below. See "Detailed Analysis" for per-title beneficiaries/burden bearers with clause-level evidence links.
Primary Purpose
Prohibits price gouging on tariffed goods by preventing businesses from raising prices beyond actual tariff costs, enforceable by the FTC with penalties and consumer reporting mechanisms.
Policy Domains
Legislative Strategy
"Prevent companies from using tariffs as pretextual justification for excessive price increases while exempting small businesses and creating FTC enforcement framework with state parallel authority."
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "the_commission"
- → Federal Trade Commission
- "the_commission"
- → Federal Trade Commission
- "the_commission"
- → Federal Trade Commission
Key Definitions
Terms defined in this bill
A tariff intended to be imposed, as demonstrated by a written or spoken statement by the President, USTR, Secretary of Commerce, or other senior Federal official.
A final good, US-assembled good with tariffed component, or component subject to tariff entering force on/after January 20, 2025, or subject to a planned tariff.
A date where 5+ tariff lines entered force in prior 30 days, or a tariff rate increased by more than 25 percentage points.
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology