Governor Gretchen Whitmer signed an executive directive asking state offices to investigate, calculate, and report the latest impact of tariffs on Michigan’s economy. It was issued one day before the August 1 tariff deadline set by President Trump.
-
- Within 30 days, certain departments must submit a report to the governor outlining the impact of tariffs on areas within their purview.
- They can ask for an extension; however, it should be no more than 60 days.
- The departments that must submit a report are:
- Department of Agriculture and Rural Development
- Department of Environment, Great Lakes, and Energy
- Department of Natural Resources
- Department of Technology, Management, and Budget
- Department of Transportation
- Michigan State Housing Development Authority
- The directive encourages other departments, agencies, and offices to review data and submit a report on the potential impact of tariffs.
According to the governor, the tariffs could impact:
-
- Manufacturing – Companies are already reporting significant losses and facing economic uncertainty. Additionally, one auto parts firm is closing and laying off hundreds of employees.
- Agriculture – The industry relies on open trade with Canada and Mexico and is a top exporter of soybeans to China. The National Soybean Association is projecting a nearly 52% decline in exports, which would cost Michigan farmers almost $100 million per year.
- Economy – Certain U.S. employers could face direct costs of $82.3 billion. Hardest hit companies are projected to pass on 60% of their tariff costs to consumers. It’s estimated that consumers could lose out on between $2,100 and $4,900 annually.
