Study: Proposed Chinese import tariffs could result in job losses
The Trump administration’s proposed tariffs on $50 billion of Chinese imports, coupled with retaliation promised by China, would take a big toll on the U.S. economy.
That’s according to a new report from the National Retail Federation and the Consumer Technology Association, which finds that the tariffs would reduce U.S. gross domestic product by nearly $3 billion and destroy 134,000 American jobs annually. The 10 states that would suffer the highest job losses are California, Texas, Florida, Washington, New York, Georgia, Missouri, Pennsylvania, North Carolina and Ohio.
While the impact of this would be felt across various sectors of the U.S. economy, agriculture would be hit especially hard, according to the report. The net income of farmers would decline by 6.7% and 67,000 agriculture jobs would be lost annually. The hit to farmers would more than double if the tariffs expanded to an additional $100 billion of products. Farmer income would drop by 15%, and jobs in the sector would decline by 181,000.
Another recent NRF and CTA study examined the consumer impact of proposed tariffs on television sets and other products from China. The study found that a TV made in China that costs American consumers $250 today would cost $308 after the tariffs are applied, an increase of 23%.
“Tariffs could wash away the benefits recent tax reform will have on the economy, bringing uncertainty to American businesses and devastation to some workers in key states – they might lose their jobs over a trade tax,” CTA president and CEO Gary Shapiro said. “Rising costs on farmers, manufacturers and service providers isn’t the answer; it shows protectionism will weaken America.”
That’s according to a new report from the National Retail Federation and the Consumer Technology Association, which finds that the tariffs would reduce U.S. gross domestic product by nearly $3 billion and destroy 134,000 American jobs annually. The 10 states that would suffer the highest job losses are California, Texas, Florida, Washington, New York, Georgia, Missouri, Pennsylvania, North Carolina and Ohio.
While the impact of this would be felt across various sectors of the U.S. economy, agriculture would be hit especially hard, according to the report. The net income of farmers would decline by 6.7% and 67,000 agriculture jobs would be lost annually. The hit to farmers would more than double if the tariffs expanded to an additional $100 billion of products. Farmer income would drop by 15%, and jobs in the sector would decline by 181,000.
Another recent NRF and CTA study examined the consumer impact of proposed tariffs on television sets and other products from China. The study found that a TV made in China that costs American consumers $250 today would cost $308 after the tariffs are applied, an increase of 23%.
“Tariffs could wash away the benefits recent tax reform will have on the economy, bringing uncertainty to American businesses and devastation to some workers in key states – they might lose their jobs over a trade tax,” CTA president and CEO Gary Shapiro said. “Rising costs on farmers, manufacturers and service providers isn’t the answer; it shows protectionism will weaken America.”