Chinese Tariffs: Middle America to Suffer Most

by Arkansas Business Staff  on Monday, Nov. 5, 2018 12:00 am   1 min read

Middle America is likely to suffer the most from China’s tariff increases on U.S. products, according to an August report by the Walton Family Foundation.

“The impact of China’s recent retaliatory tariff increases on the American Heartland will likely be substantially worse than on the rest of the country,” said the report, by Jonas Crews, a research associate at the foundation, and Ross DeVol, a foundation fellow. “It appears that China surgically targeted these products to place maximum economic and political pressure on the Trump administration.”

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That’s because tariffs were mostly raised on manufactured goods and crops, most of which are produced in what the report calls the “Heartland,” outlined in red in the first slide shown above.

The five most severely affected crops are corn, cotton, rice, soybeans and wheat, on which China increased tariffs by an additional 25 percent.

The map shows the county-level, per-capita value of 2017 production of these five crops. As readers can see in the second slide above, counties in Arkansas’ Delta region are some of the biggest producers of the five crops.

 

 

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