Gross domestic product was expected to increase at an annualized pace of 2% in the first quarter, according to Dow Jones.
Job creation eased more than expected in December while wages grew at the slowest pace in nearly 3½ years.
The President-Elect is looking at utilizing the International Economic Emergency Powers Act to implement his plan for tariffs on imports.
The ISM services survey's prices index jumped to 64.4%, an increase of 6.2 points or more than 10%.
Economists polled by Reuters forecast a reading of 2.4%, up from 2.2% in November.
President-elect Donald Trump is considering a plan that still would apply tariffs to all nations but narrow the impact.
Firms across hospitality, manufacturing, construction and healthcare expressed concerns about how they would cover additional tax costs.