New tariffs threaten Keystone State’s backbone industries with higher costs, lost exports and fewer jobs.
Pennsylvania’s farmers and manufacturers are the backbone of the state’s economy, but new tariffs threaten to undo years of growth and stability.
From dairy farms and corn to steel and aluminum, key industries across the Commonwealth are bracing for financial strain President Trump pushes forward with a sweeping tariff plan. While there’s a 90-day pause on retaliatory tariffs from most trading partners, with China excluded, a universal 10% tariff on all imported goods is still set to take effect.
According to the Tax Foundation, the initial round of tariffs could cost the average household $2,100 annually due to rising prices on essentials like food and clothing. If all proposed tariffs are implemented, including those on China, Mexico, Canada and the European Union (EU), the Yale Budget Lab estimates the cost could climb to $3,800 per household.
Even with the pause, the uncertainty alone is hitting the Keystone State’s core industries. If history repeats itself, these tariffs could bring job losses, lost market access and increased costs, hurting small businesses, farmers and working families across the Commonwealth.
Tariff Impact on Pennsylvania During President Trump’s First Term
In Trump’s first term, Pennsylvania’s economy bore the brunt of tariff-related trade disputes.
- In 2019, President Trump’s tariffs contributed to a 20% drop in exports subject to retaliation. (Farmers for Free Trade, 1/10/19)
- Pennsylvania agricultural exports decreased by about $66 million in 2018 and 2019 following President Trump’s 2018 tariff policies. (U.S. Department of Agriculture, 1/22)
Tariff Impact on Pennsylvania Today
The latest round of tariffs will exacerbate the strain that Pennsylvania’s farmers and manufacturers already face.
- Recent analyses show that proposed tariffs could cost Pennsylvania businesses $5.3 billion, a 257% increase, making it the 9th most affected state in the country. (Ellwood City Ledger, 3/5/25)
- Pennsylvania farmers are worried about these tariffs. The state exported $2.6 billion in agricultural products in 2022, with key markets like Mexico, Canada and China. New tariffs could disrupt trade and hurt products like apples, dairy and pork. (Axios, 3/5/25)
- The Sierra Club warns that tariffs on steel and aluminum could harm Pennsylvania’s manufacturing sector, increasing pollution, raising prices and causing job losses in industries like automotive manufacturing that are key to the state’s economy. (Sierra Club, 3/11/25)
What Pennsylvanias Are Saying About Tariffs Today
- Jeff Fegley, owner of Fegley’s Brew Works: “Obviously, there are some reak concerns right now about the economy, the future, and specifically these tariffs, which are a major issue for small businesses like mine. It’s a big unknown how they’ll impact us – we have ingredients that come from Canada and other sources that could see price increases overnight.” (Patch, 4/3/25)
- Former Senator Pat Toomey (R-PA): “As they start announcing their layoffs, as prices start to rise for consumers, Members of Congress are going to reach a breaking point … And that’s where I think this is heading.” (The Hill, 4/8/25)
- Chris Hoffman, President of the Pennsylvania Farm Bureau: “Depending on how it all plays out, it could be pretty tough on agriculture … The President has a decision to make: What tools does he have to create an economic push to be able to get them to agree to or do the things they agreed to do.” (WHTM ABC, 4/8/25)
What Pennsylvanians Said About Tariffs During President Trump’s First Term
- Rick Mains, Soybean Grower in Newville: “It affects my pocketbook a lot … The more acres of beans a guy is growing when prices dropped, they lose more.” (The Associated Press, 12/29/18)
- Rick Ebert, former President of the Pennsylvania Farm Bureau: “Higher tariffs make our products more expensive and less competitive, which opens the door for other countries to replace the U.S. as a supplier of food overseas.” (CNBC, 7/18/25)
- Claire Guth, director of outreach for the University of Pittsburgh’s Manufacturing Assistance Center: “We work very closely with a lot of manufacturing companies in southwestern Pennsylvania … I can tell you that for the small- and medium-sized companies, people are not too thrilled. It’s affecting the little guys. The big problem with the tariffs is that medium and large companies may be able to reposition to stretch the materials they have in stock, but the smaller companies of the world, they can’t add 20 percent to 30 percent to their budget. A lot of them are not too happy about it.” (Pittsburgh Business Times, 8/1/18)