How tariffs are impacting U.S. state economies in 2025
Tariffs may be national policy, but their impact plays out at the state level in dollars, jobs, and rising costs. From the farm fields of California to the auto plants of Michigan, nearly every region is seeing higher import costs and added pressure on key industries.
New data shows how deeply states depend on trade with Canada, China, and Mexico, and just how much recent tariffs are affecting local economies. While the full picture is still unfolding, many economists warn that policy uncertainty is becoming a drag on long-term business planning.
New tariffs on goods from Canada, China, and Mexico are putting pressure on U.S. industries, especially agriculture, manufacturing, construction, and retail. These sectors rely heavily on imported materials or foreign buyers. From steel and lumber to dairy and grains, many essential goods now carry a higher price tag.
To analyze how much impact tariffs will have on specific state economies, and the industries that cause this impact, Gateway Commercial …