trade

Stateside
5:55 pm
Mon February 3, 2014

How has NAFTA affected Michigan?

President Bill Clinton signing the North American Free Trade Agreement into Law. Al Gore is pictured besides him.
White House

It’s been 20 years since the North American Free Trade Agreement went into effect. It drastically changed the economic relationship between Canada, the U.S. and Mexico.

While signing the bill into law, then-President Clinton said, “NAFTA means jobs. American jobs, and good-paying American jobs.”

So, let’s spend the next little while taking stock of NAFTA, and what it’s meant particularly to Michigan, it’s economy, the auto industry, and the state’s workers.

Patrick Anderson, the CEO of the Michigan-based Anderson Economic Group, and Harley Shaiken, a professor at the University of California Berkeley who specializes in labor and the global economy joined us today. 

Business
1:01 pm
Mon June 18, 2012

Michigan leaders seek business partnerships with Turkey

Turkish flag
user alexeyklyukin flickr

Michigan and Turkey share a passion for cars, spend a lot of time farming, love entertaining visitors and both have a close connection with water.

More than 50 Michigan leaders went to Turkey earlier this month for a four-day conference titled the “Turkey-Michigan Forum: University-Industry Collaboration and R&D Trends.” Attendees came from the private sector, public sector and academia.

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Auto/Economy
5:25 pm
Tue September 20, 2011

Report: Michigan lost 79,800 jobs to China from 2001 to 2010

Map showing the percentage of jobs displaced by trade imbalance with China as a share of state employment.
Economic Policy Institute

A report by the Economic Policy Institute looked at the growing trade deficit between the U.S. and China and its effect on jobs.

The group found the trade deficit with China has been a "prime contributor to the crisis in U.S. manufacturing employment."

From the report:

Between 2001 and 2010, the trade deficit with China eliminated or displaced 2.8 million jobs, 1.9 million (69.2 percent) of which were in manufacturing. The 1.9 million manufacturing jobs eliminated or displaced due to trade with China represents nearly half of all U.S. manufacturing jobs lost or displaced between China’s entry into WTO and 2010.

The report finds that the number of Michigan jobs displaced by the trade deficit with China totaled 79,800. That accounts for 1.75 percent of total employment in the state in that time period.

Despite being a heavy manufacturing state, Michigan was not the hardest hit state by the trade imbalance.

From the report:

Jobs displaced due to growing deficits with China exceeded 2.2% of total employment in the 10 hardest-hit states (i.e., jobs lost or displaced as a share of total state employment): New Hampshire (19,700, 2.84%), California (454,600, 2.74%), Massachusetts (88,600, 2.73%), Oregon (47,900, 2.71%), North Carolina (107,800, 2.61%) Minnesota (70,700, 2.61%), Idaho (17,400, 2.54%), Vermont (7,800, 2.37%), Colorado (55,800, 2.30%), and Rhode Island (11,800, 2.24%).

The report concludes, "the U.S.-China trade relationship needs a fundamental change. Addressing the exchange rate policies and labor standards issues in the Chinese economy are important first steps."