Why Tariffs Won’t Crack Your Egg Budget Anytime Soon
Written by
Cynthia Measom
Edited by
Zuri Anderson
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Every time consumers open their wallet these days, it hurts. Egg prices have seen record highs this year, and now, some are wondering if new tariffs could make the product even more expensive.
While the concern makes sense, an expert told GOBankingRates the real story behind egg prices in 2025 is more complicated.
Biggest Cost Drivers Behind U.S. Egg Prices Today
George Carrillo, CEO of the Hispanic Construction Council, former director of social determinants of health for Oregon and former Democratic candidate for Governor of Oregon, explained that egg prices in 2025 are being driven by what he calls a “perfect storm of challenges.”
“Bird flu has wiped out millions of egg-laying hens, which has drastically reduced supply while demand stays the same,” he said. “New regulations in several states require cage-free eggs, and these are more expensive to produce due to higher operational costs.
“Feed prices have also surged because of climate issues and changes in trade affecting key crops like corn and soybeans, which are the bulk of hen feed. Rising fuel costs and labor shortages have added to the overall expenses. Together, these factors mean families are paying more at the store.”
How Tariffs on Steel and Aluminum Might Affect Egg Prices
Carrillo said that while tariffs on steel and aluminum might raise concern, their impact on egg prices is relatively minor.
“Eggs are mostly a domestic product and don’t rely directly on materials like steel for daily production,” he explained. “While farm equipment or infrastructure might see small cost increases due to tariffs, those costs are spread out over years and rarely affect the price of eggs on the shelf.
“On top of that, tariffs on things like fertilizer or fuel could slightly raise production and transport costs, but we are talking about just a few extra cents per dozen. Compared to other challenges like bird flu, tariffs are a small factor in determining what you pay for eggs.”
The Effect of Global Supply Chain Shifts on Egg Prices
“Eggs are thankfully quite protected from global supply chain disruptions, which is good news in unpredictable times,” Carrillo said. “Almost all the eggs we eat are produced right here in the U.S., so international shipping delays or trade conflicts rarely play a role. Eggs also have short supply chains, going quickly from farm to store, adding to their reliability.”
How Feed and Fuel Costs Shape the Price of Eggs
Carrillo explained that while feed and fuel do have an impact on egg prices, it isn’t as large as the damage caused by a bird flu outbreak.
“Feed, which is made from crops like corn and soybeans, accounts for over half of the production costs for eggs,” he said. “When feed prices climb, as they have recently due to climate and trade issues, producers pass those increases down to consumers. Fuel also makes a difference because eggs need refrigerated transportation, so higher fuel prices drive up costs a little more.
“Together, feed and fuel costs shape about 15% to 20% of what you pay for a dozen eggs. While these steady increases can add up over time, it’s those sudden events like bird flu that have the biggest impact.
How Tariffs Could Indirectly Impact Egg Prices
According to Carrillo, several things would need to happen for tariffs to noticeably affect egg prices.
“For example, tariffs on imported fertilizer could raise the cost of hen feed, making production more expensive and ultimately increasing store prices,” he said. “A big spike in fuel costs from tariffs on imported oil could make transportation more costly, which might add a few cents to each dozen.
“Another scenario would be if bird flu becomes worse, forcing the U.S. to import more eggs from other countries, and those imports are hit with high tariffs. While these kinds of situations could bring about mild price increases, they are less likely to be a big factor compared to feed costs or flu-related supply issues.”
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