An additional 15% tax was applied to Chinese imports into the U.S. this month, and there are more slated to take effect near the end of the year. China, of course, is retaliating with tariffs of its own. The two sides have hammered each other with tariffs on hundreds of billions of dollars worth of goods since 2018.
In the U.S., some states are getting hit harder than others.
Cost-estimating website HowMuch.net crunched data from the U.S. Chamber of Commerce, the Bureau of Economic Analysis and the International Trade Commission to come up with this visualization:
Understandably, in absolute terms, the population centers are bearing the brunt of the tariffs, led by California’s potential $13.4-billion hit.
By percentage, however, Louisiana’s economy, which relies heavily on exports at 26.7% of GDP, is the most vulnerable. Hawaii, by comparison, is at 0.7%.
“According to the U.S. Chamber of Commerce,” HowMuch.net pointed out, “half of all manufacturing jobs in the U.S. are dependent on exports, and one in three acres of American farmland is used for selling agricultural products to other countries.”
Economists cited in the story predict American households will spend an extra $1,000 a year as a result of these tariffs. We’ll see what happens in October, when high-level talks between the U.S. and China are scheduled to take place.
The market is in a holding pattern on Monday, with the Dow Jones Industrial Average DJIA, +0.17% slightly higher late in the trading session.
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