New tariffs could cost US importers over $700 billion in 2025
California importers could be hit hardest by the new import tariffs -- potentially paying over $170 billion more for imports than they did last year, according to newly released data by trade economists.
Texas importers rank second, with an estimated $82 billion increase. Altogether, the United States could pay over $712 billion more in import tariffs this year compared to 2024.
At 12:01 a.m. ET on Wednesday, President Donald Trump is set to impose individualized reciprocal higher tariffs on the countries with which the United States has the largest trade deficits.
All other countries will continue to be subject to the original 10% tariff baseline.
During remarks Tuesday, Trump claimed his newly announced tariffs would bring in billions per day. "We're taking in almost $2 billion a day in tariffs," said Trump. "These are tailored -- highly tailored deals."
While the lasting economic impact of Trump's sweeping tariffs stands to be seen, Trade Partnership Worldwide, a group of economists and trade policy consultants, has released data on how much importers could pay in each state for 2025.
These payment increase predictions are based on 2024 import data for each state, according to Trade Partnership Worldwide.
The predictions reflect how much more importers would pay in tariffs by state this year if demand remained identical to 2024 -- indicating which states could end up paying the most under the new tariff policy.
"As a disclaimer, we do not foresee demand for imports remaining the same as 2024 due to the tariffs," said Daniel Anthony, president of Trade Partnership Worldwide. "But this gives us a good indicator of the size, scope and impact these tariffs could have on each state."
Michigan importers could see over $27 billion in tariff payments for 2025, according to the data. About 20% of all U.S. auto production occurred in Michigan in 2023, according to the Detroit Regional Chamber.
The group's predictive analysis applies all of the new tariffs Trump announced last week to the number of goods Americans imported last year.
Those tariffs include the president's International Emergency Economic Powers Act actions on Canada, Mexico, China and Hong Kong and additional tariffs on steel, aluminum, derivative products and auto parts.
For the moment, their prediction does not include the additional tariff on Chinese imports the president may implement on Wednesday.
This prediction excluded products covered by the United States-Mexico-Canada Agreement, in accordance with the new tariffs.
Here's the potential increase in tariff payments for 2025 by state, according to Trade Partnership Worldwide:
New tariffs could cost US importers over $700 billion in 2025 originally appeared on abcnews.go.com
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Axios
15 minutes ago
- Axios
Threats to Tesla's revenue are piling up
Tesla faces fresh risks to a big income stream: sales of regulatory credits to other automakers under vehicle emissions and efficiency rules. Why it matters: Tesla's credit sales were $595 million last quarter and totaled $3.36 billion in the five quarters through Q1 of 2025. The credits are awarded to companies like Tesla that exceed emissions standards. Producers of gas-powered vehicles buy them to help meet various CO2 and mileage standards. The latest: Republicans on the Senate's commerce committee late last week proposed ending civil penalties under the Transportation Department's fuel economy rules. It's part of the committee's portion of the budget "reconciliation" bill — the top GOP and White House legislative priority. The provision would "modestly" cut auto prices by ending penalties on automakers that now "design cars to conform to the wishes of DC bureaucrats rather than consumers," a GOP summary states. The intrigue:"This Senate action would effectively end the market for CAFE credits," Chris Harto, a senior policy analyst at Consumer Reports, tells Axios via email. Dan Becker, who heads the Safe Climate Transport Campaign at the Center for Biological Diversity, noted: "Why buy credits if Trump gives you a get out of CAFE free card?" Driving the news: Separately, DOT on Friday issued an "interpretive rule" that bars consideration of EVs when it sets these mileage rules. It's a step toward crafting replacement standards, DOT said. This paves the way for less aggressive requirements — and less need for buying credits. State of play: Several buckets of credits benefit Tesla, the dominant U.S. EV seller. EPA emissions standards, Transportation Department fuel economy mandates, and California's ambitious clean cars program all provide opportunities. European emissions rules also generate credits. The big picture: The regulatory credit market was already facing risks before all the news late last week. EPA is planning to rescind Biden-era EPA carbon emissions rules for model years 2027 and onward. The House-passed reconciliation bill and the Senate GOP proposal would also nix them. And the House bill pulls back Biden-era DOT mileage rules. Both chambers have passed measures that end EPA's approval of California's auto emissions rules. Threat level: Potential loss of credit revenues comes at a perilous time for Tesla. Its sales have slumped in recent quarters, and CEO Elon Musk's rightward turn and alliance with Trump are among the reasons why, analysts say. The House plan ends $7,500 consumer purchase subsidies for EVs under the Democrats' 2022 Inflation Reduction Act. By the numbers: Credit revenues exceeded Tesla's overall profit last quarter — in other words, it would have been in the red without them. Yes, Q1 was atypically weak for Tesla, but consider Q4 of 2024, when Tesla reported $2.13 billion in profits that were helped along by $692 million in credit sales. In Q3, those numbers were $2.17B and $739M, respectively. Friction point: More broadly, the meltdown of Tesla CEO Elon Musk's relationship with Trump also creates new and unpredictable risks for the billionaire entrepreneur's business empire.
Yahoo
16 minutes ago
- Yahoo
NIH employees publish ‘Bethesda Declaration' in dissent of Trump administration policies
In October 2020, two months before Covid-19 vaccines would become available in the US, Stanford health policy professor Dr. Jay Bhattacharya and two colleagues published an open letter calling for a contrarian approach to managing the risks of the pandemic: protecting the most vulnerable while allowing others largely to resume normal life, aiming to obtain herd immunity through infection with the virus. They called it the Great Barrington Declaration, for the Massachusetts town where they signed it. Backlash to it was swift, with the director-general of the World Health Organization calling the idea of allowing a dangerous new virus to sweep through unprotected populations 'unethical.' Bhattacharya later testified before Congress that it – and he – immediately became targets of suppression and censorship by those leading scientific agencies. Now, Bhattacharya is the one in charge, and staffers at the agency he leads, the US National Institutes of Health, published their own letter of dissent, taking issue with what they see as the politicization of research and destruction of scientific progress under the Trump administration. They called it the Bethesda Declaration, for the location of the NIH. 'We hope you will welcome this dissent, which we modeled after your Great Barrington Declaration,' the staffers wrote. The letter was signed by more than 300 employees across the biomedical research agency, according to the non-profit organization Stand Up for Science, which also posted it; while many employees signed anonymously because of fears of retaliation, nearly 100 - from graduate students to division chiefs - signed by name. It comes the day before Bhattacharya is due to testify before Congress once more, in a budget hearing to be held Tuesday by the Senate appropriations committee. It's just the latest sign of strife from inside the NIH, where some staff last month staged a walkout of a townhall with Bhattacharya to protest working conditions and an inability to discuss them with the director. 'If we don't speak up, we allow continued harm to research participants and public health in America and across the globe,' said Dr. Jenna Norton, a program officer at the National Institute of Diabetes and Digestive and Kidney Diseases and a lead organizer of the Declaration, in a news release from Stand Up for Science. She emphasized she was speaking in a personal capacity, not on behalf of the NIH. The letter, which the staffers said they also sent to US Department of Health and Human Services Secretary Robert F. Kennedy Jr. and members of Congress who oversee the NIH, urged Bhattacharya to 'restore grants delayed or terminated for political reasons so that life-saving science can continue,' citing work in areas including health disparities, Covid-19, health impacts of climate change and others. They cited findings by two scientists that said about 2,100 NIH grants for about $9.5 billion have been terminated since the second Trump administration began. The NIH budget had been about $48 billion annually, and the Trump administration has proposed cutting it next year by about 40%. The research terminations 'throw away years of hard work and millions of dollars,' the NIH staffers wrote. 'Ending a $5 million research study when it is 80% complete does not save $1 million, it wastes $4 million.' They also urged Bhattacharya to reverse a policy that aims to implement a new, and lower, flat 15% rate for paying for indirect costs of research at universities, which supports shared lab space, buildings, instruments and other infrastructure, as well as the firing of essential NIH staff. Those who wrote the Bethesda Declaration were joined Monday by outside supporters, in a second letter posted by Stand Up for Science and signed by members of the public, including more than a dozen Nobel Prize-winning scientists. 'We urge NIH and Department of Health and Human Services (HHS) leadership to work with NIH staff to return the NIH to its mission and to abandon the strategy of using NIH as a tool for achieving political goals unrelated to that mission,' they wrote. The letter called for the grant-making process to be conducted by scientifically trained NIH staff, guided by rigorous peer review, not by 'anonymous individuals outside of NIH.' It also challenged assertions put forward by Kennedy, who often compares today's health outcomes with those around the time his uncle John F. Kennedy was president, in the early 1960s. 'Since 1960, the death rate due to heart disease has been cut in half, going from 560 deaths per 100,000 people to approximately 230 deaths per 100,000 today,' they wrote. 'From 1960 to the present day, the five-year survival rate for childhood leukemia has increased nearly 10-fold, to over 90% for some forms. In 1960, the rate of measles infection was approximately 250 cases per 100,000 people compared with a near zero rate now (at least until recently).' They acknowledged there's still much work to do, including addressing obesity, diabetes and opioid dependency, 'but,' they wrote, 'glamorizing a mythical past while ignoring important progress made through biomedical research does not enhance the health of the American people.' Support from the NIH, they argued, made the US 'the internationally recognized hub for biomedical research and training,' leading to major advances in improving human health. 'I've never heard anybody say, 'I'm just so frustrated that the government is spending so much money on cancer research, or trying to address Alzheimer's,' ' said Dr. Jeremy Berg, who organized the letter of outside support and previously served as director of the National Institute of General Medical Sciences at the NIH. 'Health concerns are a universal human concern,' Berg told CNN. 'The NIH system is not perfect by any stretch of the imagination, but has been unbelievably productive in terms of generating progress on specific diseases.'
Yahoo
16 minutes ago
- Yahoo
Calif. to sue over National Guard deployment at protests
Good morning, all. If your neck starts bothering you from all that screen time this week, try one of these stretches. Now, on to the news. Subscribe to get this newsletter in your inbox each morning. California Gov. Gavin Newsom said his state would sue the Trump administration today after it deployed 2,000 National Guard troops to L.A. over the weekend to quell protests against immigration raids. The deployment: Trump invoked a law under Title 10 of the U.S. Code to transfer National Guard control from California to the federal government in order to protect ICE — the first time since 1965 that they've been deployed without a state governor requesting it. [CNN] The protests: They began Friday after ICE detained at least 44 people in four raids. The ensuing protests grew increasingly violent, with demonstrators throwing rocks, blocking freeways and burning cars. Police responded by firing tear gas and using flash-bang grenades. [USA Today] Newsom responds: Newsom asked Defense Secretary Pete Hegseth to rescind the order, calling the deployment 'unlawful.' Trump's border czar, Tom Homan, said the raids would continue and threatened arrest for anyone who obstructs. 'Arrest me,' Newsom said. [Politico/NBC News] 🏀 Thunder rebound Thunder star Shai Gilgeous-Alexander tallied 34 points in Game 2 of the NBA Finals last night, leading his team to a decisive 123-107 victory against the Pacers and tying the series 1-1. SGA credited his team for the win. [Yahoo Sports] ➡️ Freedom Flotilla crew seized Israel seized a boat carrying humanitarian aid and detained Greta Thunberg and other activists who attempted to break Israel's long-standing blockade on Gaza, where nearly 2 million Palestinians are at risk of famine. [AP] 🍳 Egg recall The August Egg Company issued a voluntary recall of 1.7 million dozen of its brown cage-free eggs and brown certified organic eggs distributed in nine states. The FDA has linked the eggs to a salmonella outbreak that's sickened at least 79 people. [Delish] 🎭 Tony Awards highlights Sunset Blvd. star Nicole Scherzinger won Best Leading Actress in a Musical, Jonathan Groff straddled Keanu Reeves while performing and Oprah mentioned the Patti LuPone drama. Here are the most memorable moments. See who won. [Time/Variety] 🦓 Runaway equine After more than a week on the run, 'Ed,' the escaped zebra whose escapades went viral, was captured yesterday and airlifted to safety. See the photos. [USA Today/People] 📺 On the tube: Celebs and music stars gather for the 2025 BET Awards, airing at 8 p.m. ET on BET. Kendrick Lamar leads with 10 nominations, but here's who else is nominated. [Billboard] 🏒 On the ice, the Panthers and the Oilers try to break their 1-1 series tie in Game 3 of the Stanley Cup Final at 8 p.m. ET on TNT. [USA Today] ⚾ On the field, the I-5 rivalry continues when the Dodgers take on the Padres at 9:40 p.m. ET on the MLB app. [AP] ☀️ And don't forget to: Read your daily horoscope. Play the crossword. Check the forecast in your area. In 1993, Jurassic Park had its world premiere. More than 30 years later, Scarlett Johansson, a self-proclaimed 'geeked-out fangirl' of the film is set to star in the franchise's seventh installment, Jurassic Park: Rebirth. It's a casting that was 15 years in the making. [Hollywood Reporter] Psst: Father's Day is this Sunday. If you haven't gotten something for Dad yet, Yahoo Gifting Editor Amanda Garrity has some ideas. When you buy through links in this article, Yahoo may receive compensation. Amanda: If you can get your hands on the Nintendo Switch 2, then you'll be Dad's favorite. Other buzzy buys that I'm seeing include Lego's all-new Pixar lamp set, a smart meat thermometer and Hoka recovery slides. Amanda: Act fast and you'll still be able to get a custom photo book from Papier or this coffee table book from Wonderbly, which compiles newspaper headlines from Dad's birthday throughout the years. It's pretty cool! Amanda: I have tons in this gift guide! Every dad needs this leakproof backpack cooler ahead of the summer. Yahoo readers are also buying these battery storage systems and barbecue resting blankets in droves — what can I say: Dad loves a practical buy! Need more ideas? Amanda's got you covered. Sir J. Starks recently surprised his wife, Maurissa, with a six-minute Sephora shopping spree to celebrate their anniversary. The staff and fellow shoppers quickly joined in to help her fill her basket. 'The support staff just converged like the Avengers. It was wild,' Starks said. [People] Have a great day. See you tomorrow! 💡 P.S. Before you go, your daily advice: Give yourself at least three hours between dinner and bedtime to allow for proper digestion and improve the quality of your sleep. [Delish] About The Yodel: The Yodel is a morning newsletter from Yahoo News. Start your day with The Yodel to get caught up on weather, national news, politics, entertainment and sports — in four minutes or less. Did you like this morning's newsletter? Subscribe to have it sent to you on weekdays. By signing up, you agree to our Terms and Privacy Policy.
