Trade War just got personal: Over 5 million American jobs at risk as China and Canada fire back with retaliatory tariffs; here are regions and counties that will be badly affected

Abiola Olawale
Writer

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The trade war started by the United States might impact the jobs of more than 5 million Americans due to the retaliatory tariffs from China and Canada, as per a report.

Brookings Institution analysis found that a few sectors are most at risk from these tariffs, such as agriculture, manufacturing, and energy industries, according to the Washington Post.

Job Losses Threaten Key American Sectors

The most affected regions are likely to be the Midwest, where tariff retaliation hits food production, and the South, where the manufacturing industry may take the hit, the Washington Post reported. Even areas such as southern West Virginia, with high levels of mining employment, are more likely to be affected due to the trade war, the Washington Post reported.

A large number of the workers impacted by these tariffs reside in states that voted for US president Donald Trump. Approximately 3 million individuals, who voted for Trump, work in sectors directly hit by retaliatory tariffs, compared to around 2 million workers, who voted for former vice president Kamala Harris.

Robert Maxim, a Brookings Metro fellow who contributed to the analysis, claimed, “There’s definitely a bias towards Republican-voting areas,” adding that, “I don’t think that’s a coincidence. China and Canada know what they’re doing,” as quoted by Washington Post.

The Political Impact of Tariffs

China’s and Canada’s tariffs are aimed to target not only the American economy but also send a political signal, as per the report.

China imposed a 15% tax on US agricultural products such as soybeans, meat, and grains, directly affecting 1.3 million American labourers, Washington Post reported. Last month, China set levies on US coal and liquefied natural gas, agricultural equipment, and crude oil, which employ 600,000 Americans workers, as per the report.

While, Canada’s retaliatory tariffs include imposing a 25% duty on products from both the manufacturing and agricultural industries, potentially impacting 4.8 million US workers, Washington Post reported.

Rural Communities Bear the Brunt

The Brookings analysis revealed the disproportionate effect that these tariffs have on rural populations, where mining and agriculture are significant employers, according to the report.

For example, Sargent County in North Dakota has over 60% of its workforce working in sectors at risk from these tariffs, Washington Post reported. The analysis found that these industries employed 7.5% of staff in nonmetropolitan areas, compared with 3.2% of staff in metropolitan areas, as per the Washington Post.

The report also found that the farming industry will be the most impacted due to the trade war. The counter-tariffs imposed by China and Canada will reduce the ability to sell crops abroad, while a 10% US tariff on Canadian fertilizer will increase the cost of production, the Washington Post reported.

Post: credit: economictimes.com

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