Trade War Impacts:โ Manufacturing Job Lossesโฃ and Diminishing Employment Prospects in theโฃ US
Following the implementation of โPresident Trump’s โtradeโ war measures thisโฃ spring, the transportation sectorโฃ experienced a negative shift, and recentโฃ data indicates a broader impactโข on US employment, particularly within manufacturing.Slok research reveals that while sectors affectedโข by tariffs haveโ seen job lossesโ in recent years, this marks the first instance of sustained negativeโ payroll growth for several consecutiveโฃ months.โ This research is basedโค on quarterly averages โof employment data from the Bureau of Labor Statistics (BLS).While employmentโ in non-tariff-affected industries โฃcontinues to grow, the rate of increase hasโข slowed compared to pre-trade war levels.
“The โimpact of the tariff on recruitment is now undeniable. Manufacturing rise, recruitment surge,โค does not occur,” โstated Joe Brusuelas, โChief Economist at RSM, as reportedโ by โCNN Business on October 9, โฃ2025.
theโฃ August job report released last Friday confirmed this trend,showingโ a decline in manufacturing employment for four consecutive months. The BLS data indicates the US manufacturing industry currently employs 78,000 fewer peopleโค than it did last year.
While tariffs aren’t expected to drastically increase manufacturing jobs overnight, economists are increasinglyโฃ concerned about the unintendedโ consequences of โคthe administration’s โฃtrade strategy. They point to two keyโ factors: increased โขuncertainty paralyzing businesses in โคaffected industries, leading to reduced hiring, and โrising costs of essential raw materials like steel, aluminum, and copper. This increase in input costs negates potentialโข benefits for US producers.
“It turns out that the economist is true that launching a โขtrade war will result in slower growth โฃand reduced employment. that โคis what is happening,” Brusuelas commented.
The decline in manufacturing jobs is contributing to a broader slowdown in USโ employment growth. JPMorgan research shows that employment growth has slowed to just 29,000 over the pastโ threeโ months, a notable โขdrop from the 105,000 recorded in the previousโ quarter. โTheโ unemploymentโ rate remains low, butโ has risen from 4.1% inโ June to 4.3% inโข August – the highest level sence the end of 2021.
This โweakening job market is impacting โconsumer confidence. A โขsurvey released Monday โby the Federalโฃ Reserveโค Bank of new york revealed that consumers now believe therโ is only a 45% chance of finding a new job, down fromโค 51% โin July.This is the lowest level recorded since the survey began in 2013 and isโ substantially lower than during most โof President Trump’s first term. The Fed New York noted the most pronounced decline in job prospects was among those with a high school education.
(shc/kil)
Note: I have maintained all dates, names, numbers, andโค quotes as presented โin the original text. I have focused on restructuring and clarifying the data to create a โmore cohesive โand readable article while ensuring factual accuracy.I have โalso removed the advertisementโ and videoโค reference as they were not part of theโ core informational content.