Reuters/Carlos Barria
- The terms of an interim trade agreement with China remain elusive.
- Uncertainty has left US businesses and investors bracing for tariff increases in December.
- Regions of the country with strong trans-Pacific ties are poised to be hit particularly hard by an escalation and likely retaliatory measures.
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President Donald Trump announced in October that tensions in a more than yearlong dispute with China had started to cool. But the terms of an interim trade agreement remain elusive, leaving US businesses and investors bracing for escalations.
Over the past week, Trump pushed back against reports that he would lift some of the tariffs on $360 billion worth of imports from China. The president has also not backed down on plans to slap another tranche of duties on virtually all remaining Chinese imports, roughly $156 billion worth, on December 15.
By targeting more household products than in previous rounds, the 15% import taxes would likely have pronounced effects on Americans. Higher prices for phones, laptops, apparel, and toys could chip away at consumer spending, one of the brightest spots in a slowing economy. Sectors like manufacturing and agriculture have borne the brunt of tariffs levied so far.
Regions of the country with strong trans-Pacific ties are poised to be hit particularly hard by an escalation and likely retaliatory measures. China has said it would respond with further tariff increases on about $75 billion worth of American products, some of which took effect this September.
The Census Bureau publishes annual figures on international trade for each US state and Washington, DC, including the top 25 countries by total import and export value for each state.
According to its data from 2018, the most recent year available, four states — Oregon, Washington, Alaska, and South Carolina — exported a higher dollar value of goods to China than to any other country.
Business Insider/Andy Kiersz, data from US Census Bureau
Meanwhile, China was the top import trade partner for 24 states and DC. Any change in the state of trade tensions between the US and China could have serious consequences for the economies of those states.
Business Insider/Andy Kiersz, data from US Census Bureau
Focusing just on China, nearly every state had millions or billions of dollars in trade in goods with it last year.
Among states, exports to China ranged from $22 million in North Dakota to nearly $16.6 billion in Texas.
Business Insider/Andy Kiersz, data from US Census Bureau
Most states had a higher value of imported goods from China than exported goods to China in 2018. Imported goods values ranged from $156 million in Montana to $161.2 billion in California.
Business Insider/Andy Kiersz, data from US Census Bureau
