WalletHub says Arizona will be greatly affected in a trade war with Mexico
Feb 8, 2017, 7:26 AM | Updated: 11:12 am
(AP Photo/Christian Torres)
(AP Photo/Christian Torres)
PHOENIX — President Donald Trump promised throughout his campaign that he would have a border wall built separating Mexico and the United States, insisting that Mexico will pay for it.
America’s neighbor to the south has refused to pay for it, and as a result, Trump has proposed placing a 20 percent tax on imports from Mexico.
This could start a trading war between the two countries, and according to WalletHub, that would be bad news for Arizona.
The study says Arizona will be the second-most affected state by such a trade war, trailing only Texas.
There are five categories on how WalletHub determined such an answer; exports to Mexico as percentage of the total state’s exports, exports to Mexico as percentage of the total state’s GDP, imports from Mexico as percentage of total state’s imports, imports from Mexico as percentage of the total state’s GDP, and the percentage of jobs supported by trade with Mexico.
Arizona was in a tie for the top spot in three categories. The Grand Canyon State was tied with New Mexico for the highest exports to Mexico as percentage of total exports, tied with Texas for the highest exports to Mexico as percentage of GDP, and tied with Michigan for the highest imports from Mexico as percentage of total imports.
If a trade war between the two countries does indeed happen, Alaska would be the state that is least affected, according to WalletHub.
