Trade War Likely To Hit Trump States Hard: U.S. Chamber Of Commerce

Car manufacturers and farmers are particularly vulnerable, according to the group.
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Several states that voted for Donald Trump in the presidential election are likely to be among the hardest hit in the trade war the president has triggered, according to the nation’s largest business organization.

A detailed study by the U.S. Chamber of Commerce tracked the expected effects in each state of U.S. tariffs and retaliatory action against U.S. goods by China, European countries, Mexico and Canada.

Of the 10 states the U.S. Chamber of Commerce says will be hit the hardest by the tariffs, only California, Illinois and Washington voted against Trump in the presidential election. Louisiana, Texas, Alabama, Ohio, South Carolina, Michigan and Pennsylvania will all take major hits thanks to the trade policy of the man those states sent to the White House. Trump won Michigan and Pennsylvania by less than a single percentage point.

The number of exports that could be hit by retaliatory tariffs among the 10 most vulnerable states ranges from $1.7 billion in Pennsylvania to $6.2 billion in Washington.

“Tariffs are beginning to take a toll on American businesses, workers, farmers, and consumers as overseas markets close to American-made products and prices increase here at home,” U.S. Chamber of Commerce President Thomas Donohue said in a statement Monday. “Tariffs are simply taxes that raise prices for everyone.”

The traditionally GOP-friendly organization, which represents more than 3 million businesses, has launched a campaign against Trump’s tariffs, arguing that they have triggered a trade war that will cost U.S. jobs and will send consumer prices soaring.

According to the organization, half of all U.S. manufacturing jobs depend on exports, and 1 in 3 acres on U.S. farms produce crops for the international market.

The business lobbying group says farm states and states with large car production plants will be particularly vulnerable. Trump’s 25 percent tariff on steel will hurt all American manufacturing dependent on economical steel. Farmers will pay dearly for 25 percent retaliatory tariffs on soybeans, which China plans to impose on Friday. China, which has announced tariffs on $34 billion in American goods, is a critical soybean market for U.S. producers.

Canada announced Friday that it’s imposing $12.6 billion in tariffs on U.S. exports, and Mexico is also planning to impose tariffs of up to 20 percent on U.S. pork. The European Union has targeted $3.2 billion in U.S. goods, including Harley-Davidson motorcycles.

CORRECTION: A previous version of this story said Illinois voted for Trump in 2016. Illinois voted for Hillary Clinton.

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