As a trade war between the United States and its neighbor to the north continues in escalation, Illinois is likely to be one of the most impacted states from new tariffs on goods.
New tariffs the Trump administration recently imposed are part of an effort to rebuild tariff revenue after the U.S. Supreme Court struck down President Donald Trump’s emergency-powers tariffs in February and other temporary plans expired in July.
Nick Klein, vice president of sales and marketing in the Midwest for international logistics company OEC Group, said new tariffs imposed by both countries will continue driving up the cost of goods in the state, as Canada is Illinois’ top trade partner – exporting roughly $17.5 billion in goods to the nation annually.
He also noted auto parts and production would be especially impacted in the Midwest, as parts of a single vehicle often cross the border multiple times before it’s manufactured.
Klein said neither side has much to gain from the escalation, but the U.S. may have more leverage to bring the tension to a close.
Story from Illinois Radio Network
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