Top 10 US States Losing Jobs From Deficit with China

Oct. 24, 2018
The computer and electronic parts industry experienced the most dramatic growth in terms of the trade deficit, leading to the displacement or loss of more than

There are many ways at looking at the effect of the US trade deficit with China.

One group, the Economic Policy Institute issued a report on Oct. 23 tying job loss to the growing deficit. 

In the report, the group says that between 2001 and 2016 the group said the U.S. lost 3.4 million jobs. 

“The growing trade deficit with China affects different regions in different ways,” write the authors of the report. “Some regions are devastated by layoffs and factory closings, while others are surviving but not growing the way they could be if new factories were opening and existing plants were hiring more workers. This slowdown in manufacturing job generation also is contributing to stagnating wages and incomes of typical workers and widening inequality.”

 The computer and electronic parts industry experienced the most dramatic growth in terms of the trade deficit, leading to the displacement or loss of more than 1.2 million jobs.

The widening trade deficit even has slashed the wages of workers without college degrees in sectors outside of manufacturing. Workers directly impacted by the trade deficit have lost $37 billion per year in wages from 2001 to 2011, according to the report. The wages of all non-college graduates dropped $180 billion per year because of the growing competition with imports from China and other low-wage countries. 

About the Author

Adrienne Selko | Senior Editor

Focus: Workforce, Talent 

Follow Me on Twitter: @ASelkoIW

Bio: Adrienne Selko has written about many topics over the 17 years she has been with the publication and currently focuses on workforce development strategies. Previously Adrienne was in corporate communications at a medical manufacturing company as well as a large regional bank. She is the author of Do I Have to Wear Garlic Around My Neck? which made the Cleveland Plain Dealer's best sellers list. She is also a senior editor at Material Handling & Logistics and EHS Today

Editorial mission statement: Manufacturing is the enviable position of creating products, processes and policies that solve the world’s problems. When the industry stepped up to manufacture what was necessary to combat the pandemic, it revealed its true nature. My goal is to showcase the sector’s ability to address a broad range of workforce issues including technology, training, diversity & inclusion, with a goal of enticing future generations to join this amazing sector.

Why I find manufacturing interesting: On my first day working for a company that made medical equipment such as MRIs, I toured the plant floor. On every wall was a photo of a person, mostly children. I asked my supervisor why this was the case and he said that the work we do at this company has saved these people’s lives. “We never forget how important our work is and everyone’s contribution to that.” From that moment on I was hooked on manufacturing.

I have talked with many people in this field who have transformed their own career development to assist others. For example, companies are hiring those with disabilities, those previously incarcerated and other talent pools that have been underutilized. I have talked with leaders who have brought out the best in their workforce, as well as employees doing their best work while doing good for the world. 

Sponsored Recommendations

Voice your opinion!

To join the conversation, and become an exclusive member of IndustryWeek, create an account today!