tariff

noun tar·iff \ ˈter-əf , ˈta-rəf \

|Updated on: 18 Aug 2018

Definition of tariff

1 a : a schedule of duties imposed by a government on imported or in some countries exported goods

b : a duty or rate of duty imposed in such a schedule

2 : a schedule of rates or charges of a business or a public utility

3 : price, charge

See tariff defined for English-language learners

See tariff defined for kids

Recent Examples of tariff from the Web

While bank customers have been worried by trade and tariff disputes, JPMorgan executives said this hasn’t so far affected spending and investment decisions by businesses.

— emily glazer, WSJ, "JPMorgan, Citigroup Report Higher Profit, Boosted by Stronger Economy," 13 July 2018
Britain is currently part of the EU’s single market — which allows for the frictionless flow of goods and services among the 28 member states — and its tariff-free customs union for goods.

— Washington Post, "Trump says May’s Brexit plan would kill UK-US trade deal," 12 July 2018
Business groups have warned that hundreds of thousands of jobs will be lost due to tariffs and trade wars.

— david dayen, The New Republic, "The Inevitable Death of Global Trade As We Know It," 12 July 2018
And leaders of many NATO countries are less than thrilled with Trump's tariffs and trade policy.

— USA TODAY, "Trump attends NATO summit. That doesn't mean he has to like it," 11 July 2018
May argued that her plan represented the only way to avoid the re-imposing of border formalities such as tariffs and immigration checks between Ireland, which is an EU member, and Northern Ireland, which is part of the United Kingdom.

— laura king, latimes.com, "British Prime Minister May's government appears in turmoil amid resignations tied to Brexit," 9 July 2018
But talks in Brussels were notoriously slow, mostly because May's government could not - and still cannot - agree on what kind of future relationship Britain wants with Europe on trade, immigration, law, tariffs and border checks and security.

— author: william booth, karla adam, Anchorage Daily News, "Theresa May's government in disarray after shock resignation by Brexit minister," 9 July 2018
Seven percent rated tariffs and trade the No. 1 issue.

— allison kite, kansascity, "‘In a trade war, everyone loses.’ What Trump’s tariffs mean for Missouri," 2 July 2018
The cascade of picayune tariffs and aggressive trade rhetoric directed indiscriminately against allies and competitors alike could inflict lasting damage on US companies’ ability to compete globally.

— zachary karabell, WIRED, "Trump's Trade War Won't Hurt China. It Could Hurt US Tech," 27 June 2018

These example sentences are selected automatically from various online news sources to reflect current usage of the word 'tariff.' Views expressed in the examples do not represent the opinion of Merriam-Webster or its editors. Send us feedback.

Origin and Etymology of tariff

Italian tariffa, from Arabic taʽrīf notification

NEW! Time Traveler

First Known Use: 1592

in the meaning defined at sense 1a

See Words from the same year

Other Economics Terms

actuary, compound interest, globalization, indemnity, portfolio, rentier, stagflation, usurer

tariff

verb

Definition of tariff

tariffed; tariffing; tariffs

transitive verb

: to subject to a tariff

Recent Examples of tariff from the Web

Trump’s latest salvo in a brewing trade war would mean a sizable amount of Chinese goods shipped to the U.S. would be exposed to tariff threats and raises new questions about the impact on American consumers.

— Fortune, "President Trump Targets $200 Billion in Chinese Imports as Trade Spat Grows," 19 June 2018

First Known Use of tariff

circa 1828

in the meaning defined above

See Words from the same year

NEW! Time Traveler

Other Economics Terms

actuary, compound interest, globalization, indemnity, portfolio, rentier, stagflation, usurer

Financial Definition of TARIFF

tariff

noun

What It Is

A tariff is a tax on imports or exports. Money collected under a tariff is called a duty or customs duty. Tariffs are used by governments to generate revenue or to protect domestic industries from competition.

How It Works

There are generally two types of tariffs. Ad valorem tariffs are calculated as a fixed percentage of the value of the imported good. When the international price of a good rises or falls, so does the tariff. A specific tariff is a fixed amount of money that does not vary with the price of the good. In some cases, both the ad valorem and specific tariffs are levied on the same product.

For example, Company XYZ produces cheese in Scotland and exports the cheese, which costs $100 per pound, to the United States. A 20% ad valorem tariff would require Company XYZ to pay the U.S. government $20 to export the cheese. A specific tax would involve charging $30 dollars per pound of cheese whether cheese sold for $100 or $200 per pound.

Why It Matters

Import and export taxes make it more expensive for users of foreign goods, causing a decline in imports, a decline in the supply of the good, and a resulting increase in the price of the good. The price increase usually motivates domestic producers to increase their output of the product.

Some economists argue that the resulting higher consumer prices, higher producer revenues and profits, and higher government revenues make tariff s a way to effectively transfer money from consumers to government treasuries. Some economists also argue that tariffs interfere with free market ideals by diverting resources to domestic industries that are less efficient than foreign producers.

Source: Investing Answers

TARIFF Defined for English Language Learners

tariff

noun

Definition of tariff for English Language Learners

: a tax on goods coming into or leaving a country
: a list of prices charged by a hotel or restaurant for meals, rooms, etc., or by a public company for gas, electricity, etc.

TARIFF Defined for Kids

tariff

noun tar·iff \ ˈter-əf \

Definition of tariff for Students

1 : a list of taxes placed by a government on goods coming into a country

2 : the tax or the rate of taxation set up in a tariff list

Law Dictionary

tariff

noun tar·iff \ ˈtar-əf \

legal Definition of tariff

1 a : a schedule of duties imposed by a government on imported or in some countries exported goods

b : a duty or rate of duty imposed in such a schedule

2 : a document filed with the appropriate government agency that sets forth the rates, charges, and other provisions pertaining to services furnished by a business (as a carrier) or public utility