Gov. JB Pritzker signed an executive order Monday directing state agencies to evaluate the economic impact Illinois could face under the latest rounds of sweeping tariffs that President Donald Trump is threatening to levy against U.S. trade partners, including its allies.
Pritzker’s order calls for the Illinois Department of Commerce and Economic Opportunity and the state Department of Employment Security to figure out which industries and regions of the state are most vulnerable to trade disruptions as Trump threatens to implement blanket tariffs of 15% or more on most other countries next month.
Pritzker also ordered the Illinois Department of Public Health to figure out which medical supplies could be affected by supply chain disruptions, while the state Department of Human Services will do similar analyses for food assistance programs.
Colorado Gov. Jared Polis was expected to sign a similar measure, while other Democratic-led states were expected to take formal actions critical of the tariffs, including New York, Oregon and Washington.
“Donald Trump’s reckless trade policies are nothing more than a tax on working families that will jack up prices, threaten jobs, and impact the way we live,” Pritzker said in a statement. “This Executive Order ensures we have a clear-eyed view of the impact the Trump Slump will cause, from higher prices at the grocery store to uncertainty in our farms and factories.”
Trump issued a series of tariffs early in his second term, including 25% hikes on many goods from the biggest U.S. trade partners, Canada and Mexico. Last week, Trump threatened to increase the toll on many Canadian products to 35%, and he has floated a 30% tariff on goods from the European Union, among other sweeping tax hikes to take effect Aug. 1.
Most economic experts and industry leaders agree that broad-based tariffs harm markets overall by increasing costs for consumers and producers of goods. Trump argues they’ll lower U.S. trade deficits and spur domestic manufacturing.
Administration officials have also said Trump is relying on tariff revenue to offset the tax cuts he signed into law on July 4, a move that could shift a greater share of the federal tax burden onto the middle class and poor as importers would likely pass along much of the cost of the tariffs.
Pritzker’s office calls the strategy “a disastrous trade policy that exacerbates economic uncertainty for businesses, disrupts supply chains, and raises costs on everyday goods.”
Illinois is the top exporter of goods to Canada in the nation, and Illinois exports support about 800,000 jobs in the state, according to the governor’s office
Pritzker’s executive order also directs the Illinois Capital Development Board to review building material costs and alternative sourcing for construction projects, while the state Department of Transportation examines the effect on infrastructure costs and timelines. The Illinois Emergency Management Agency will assess procurement and cost increases for emergency supplies.
Contributing: Associated Press