Tariffs continue to have major impact on U.S. manufacturing
Jan 29, 2020
The increase in tariffs imposed by the U.S. against its major trading partners since early 2018 has brought renewed attention to the economic effects of tariffs in general. As global trade tensions continue to take a toll on U.S. manufacturers, it appears the tariff repercussions are more serious than originally imagined.
As of December 2019, the U.S. manufacturing sector has contracted at the fastest pace in a decade (according to the Institute for Supply Management). Although the tariffs were originally enacted to protect against what were deemed to be the unfair trade practices of trading partners, they’ve now become associated with increased producer prices and relative reductions in manufacturing employment.
To get a clearer idea of the impact the tariff increases imposed by the U.S. and its trading partners have had on the U.S. manufacturing sector, read this recent Forbes article.
Why should you care?
Unfortunately, this is an area that has negatively impacted most manufacturing companies. It’s important to examine the effects on your business and find ways to recover from the trade conditions.
