There's no clear resolution on the horizon for President Donald Trump's trade war with China, and many states could soon start feeling the pain.
The Trump administration on Tuesday announced a 25% tariff on$16 billion worth of Chinese exports to the US, adding to the $34 billion worth of Chinese goods already subject to tariffs. Trump has also begun to move forward with tariffs on another $200 billion worth of Chinese goods, and he has effectively threatened that every item from the country could eventually be subject to tariffs.
Tariffs act as a tax on goods coming into the country, meaning goods coming into the US from China would be hit with an additional 25% duty. That makes those goods more expensive, which, in theory, would drive US companies to buy non-Chinese products.
Given that Chinese goods represented just over 21% of all importscoming into the US in 2017, an escalation of the trade war could push up prices for many goods. While the disruptions are likely to be widespread, some states may face more problems than others.
According to data from the US Census Bureau, China is a key source of imports for many states:
So far, Trump's supporters have stood beside him amid the trade disputes. But growing concern from businesses and consumers, as well as layoffs and increased prices for goods, could start to take a toll.