Study: New tariffs hit Michigan hard, state exports drop
Michigan businesses paid an extra $432 million in import tariffs.
Michigan is being hit hard by record high tariffs, according to a new report from Tariffs Hurt the Heartland and compiled by The Trade Partnership from monthly U.S. government data.
The data, which runs through October 2018 (the most recent month available) and is drawn from U.S. Census Bureau statistics on tariffs, includes the first look at the full weight of tariffs that have been imposed on $200 billion in Chinese imports and the impacts of retaliation from that action. In October 2018, Michigan businesses paid $138 million in tariffs, more than 10 times the amount paid in tariffs on the same products in October 2017.
The record-setting Michigan numbers correspond with new national data showing American businesses paid $6.2 billion in tariffs in October, the highest amount for any month in U.S. history.
“The numbers don’t lie,” said Tariffs Hurt the Heartland spokesperson and former Congressman Charles Boustany. “Tariffs are taxes and Michigan businesses, families and workers are being hit harder than ever before. Tariffs are hurting Michigan by making it harder for businesses to pay their workers and keep their doors open, harder for farmers to sell their commodities overseas, and harder for families who are paying higher prices for everyday necessities like groceries and clothing. This data shows that tariffs have been an unmitigated failure in achieving any of the administration’s goals. All that’s happening is businesses and consumers are paying more, American exports subject to retaliation are rapidly declining and the deficit the administration cares so much about is ballooning.”
The data shows that the administration’s tariff policy has failed to achieve any of its stated goals and has, in fact, helped to grow the trade deficit that the administration has prioritized addressing. Since the trade war began, Michigan exports have faced $242 million in new retaliatory tariffs from our trading partners, including $71 million in October. These tariffs make Michigan less competitive. In October, Michigan exports subject to retaliation dropped by 9.2 percent.
“We are now seeing the raw data that is creating tremendous uncertainty and harm for Michigan businesses, manufacturers and farmers,” former Congressman Boustany said.
The Tariff Tracker
The data released today is part of a monthly Tariff Tracker that Tariffs Hurt the Heartland has launched in conjunction with The Trade Partnership, who compiles monthly data released by the U.S. government. The monthly import data is calculated using data from the Census Bureau, and the monthly export data is compiled based on Census Bureau and U.S. Department of Agriculture data. As part of the Tariff Tracker project, Tariffs Hurt the Heartland is releasing data on how individual states have been impacted by increased import tariffs and declining exports.
For more information, click here.