From Ghazala Hashmi <[email protected]>
Subject The Impacts of the Trump Tariffs on Virginia’s Economy
Date April 8, 2025 4:05 PM
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Dear Friend,
This week’s newsletter shares thoughts on the impacts of the Trump Tariffs. It also highlights Chesterfield Restaurant Week, and recent endorsements I have received in my campaign for Lieutenant Governor. I also share select community engagements from this past week. Thank you for taking the time to read this newsletter and for staying informed.
The Impacts of the Trump Tariffs on Virginia’s Economy
As I work on Monday night to identify the potential impacts that Virginia will face with the Trump Tariffs, I know that – by Tuesday morning – my comments may be completely outdated. Given the hourly waves of chaos and the many “executive orders” that have no basis in law, the scope of these impacts is difficult to fully grasp.
Just today, Donald Trump threatened China with an extra 50% tariff on its goods if China does not withdraw the 34% counter-tariff it is imposing on American products. China’s counter-tariff was declared on Sunday in response to Trump’s “Liberation Day” 34% tax on Chinese imports. In addition to China, just about every country that supplies goods to the US has been affected by at least a minimum of 10% tariffs. These are taxes that American businesses and industries will pay on goods and that will be passed on to American consumers.
What can we expect from the Trump Tariff/Tax policies on imported goods? All leading economists point to the fact that we will soon be paying higher prices in every sector of the economy. Electronics, clothing, cars, food, and other daily consumer products are expected to see price hikes. We should also expect to see economic disruptions, particularly in manufacturing, agriculture, and construction.
Additionally, the countries affected by these tariffs may soon respond, as China has done, with retaliatory tariffs on American goods. American farmers, manufacturers, and exporters will likely see steep declines in their ability to export their products. Such declines often lead to job losses; small businesses struggle to survive when the cost of goods increases this dramatically. Of course, these short-sighted actions on the part of Trump are increasing global trade tensions and impacting US relationships with other nations, including – and especially damaging – with its allies.
The Trump Tariffs will most certainly impact Virginia's economy, consumers, businesses, and various industries across the state. According to estimates, the increased prices of consumer goods may cost Virginians over $2.1 billion annually.
Virginia’s largest private industry is agriculture, and our farming communities will be significantly impacted by the Trump Tariffs. Exports of soybean, pork, and poultry are expected to be hit hard, as is the export of wood products. These tariffs, in combination with the losses of USAID and USDA federal funding that support our farmers and the losses of a reliable farm workforce because of severe immigration restrictions, have the potential to significantly harm Virginia farmers.
While Trump proclaims that he is bringing manufacturing back to the US, the Trump Tariffs will almost certainly have the opposite effect. Industries that rely on imported materials such as steel and aluminum will have limited and even more expensive access to supply. These challenges will lead to higher production expenses and consumer price increases. Additionally, the construction industry and impacts on the real estate markets will lead to further shortages in affordable housing for Virginians.
To say that we are facing both short- and long-term projections of economic uncertainty is an understatement. The broad and sweeping nature of these ill-conceived tariffs are projected to slow economic growth, affect job creation, and exacerbate the concerning losses of thousands of federal jobs already affecting Virginians.
The conservative think tank the American Enterprise Institute (AEI) has issued an analysis that finds the Trump Tariff formula used to calculate the tax to be "based on an error." [[link removed]] Not exactly known for his economic acumen, Trump is leading this country down a path that will do great economic damage to the country and to international stability.
Chesterfield Restaurant Week
Chesterfield Restaurant Week continues today and runs through April 13. This collaboration between the Chesterfield Chamber [[link removed]] and Experience Chesterfield [[link removed]] highlights the dynamic food scene that exists across the county and our thriving small business community. Chesterfield Restaurant Week also supports the Chesterfield Food Bank and Outreach Center (CFBOC) [[link removed]] , a nonprofit organization that focuses on ending hunger in our communities. Participating restaurants across Senate District 15 are included in the graphic below. Additionally, Chesterfield Restaurant Week [[link removed]] provides details and the full list of participating restaurants.
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Select Community Engagements
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On Friday, I attended the kickoff of the 2025 Adult and Junior Division Wheelchair Basketball National Tournaments in Henrico County. This partnership between the National Wheelchair Basketball Association, Sportable, Richmond Region Tourism, and Henrico Sports & Entertainment Authority brings together hundreds of athletes from across the country to compete, build community, and bring awareness to the importance of accessibility in sports.
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On Saturday afternoon, I joined hundreds of community members from across Central Virginia at the 20th Annual Punjabi Mela. Each year, this event highlights the rich, diverse cultures of Northern India and how the food, arts, and traditions have now been incorporated into our cultural fabric here in the Commonwealth.
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Last night (Monday), I joined the Virginia Beach Democratic Committee to share my vision for the Office of the Lieutenant Governor. Recent actions by the Trump-Musk Administration—the mass firing of federal employees, harmful tariffs that will dramatically increase costs f or businesses and Virginia’s working families, dismantling agencies that provide vital services to us all—demand a strong and competent response from Executive leadership at the state-level. As Virginia’s Lieutenant Governor, I will stand against these harmful policies, work to develop resources that protect Virginians, and advocate on behalf of the Commonwealth.
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This morning, Venture Richmond held its Annual Downtown Update, with Richmond City Mayor Danny Avula providing the keynote address. Each year, Venture Richmond brings together local and state-level elected leaders, business owners, and community nonprofits to share upcoming projects affecting the Richmond metropolitan region.
Lieutenant Governor Campaign Endorsements
This past week, I announced two important developments in my campaign for Lieutenant Governor. I am honored to have earned the endorsement of UNITE HERE [[link removed]] and to be the first and only labor-endorsed candidate in the race. All Virginians deserve safe working conditions, family-sustaining wages, and a seat at the table when decisions are made. I look forward to working with UNITE HERE and its members to make Virginia the best state for workers and their families.
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I am also honored to receive the Moms Demand Action Gun Sense Candidate Distinction . Gun violence is the leading cause of death for children in Virginia, and tragically at least three Virginians die by firearm every day. This uniquely American epidemic must be addressed, and we need strong leadership at the executive level to enact commonsense gun legislation that protects our families. I look forward to continuing to build on my strong legislative record with organizations such as Moms Demand Action in my position as Lieutenant Governor.
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In addition to these new recognitions of my campaign, I am proud to have received the endorsements of numerous elected officials and organizations [[link removed]] , including the following: EMILY’s List, Indian American Impact, Virginia’s List, the National Association of Social Workers - Virginia Chapter, Fund Her, AAPI Victory Fund, and more. With early voting beginning in less than a month (May 2) for the Democratic Primary election, I am honored to have a group of strong legislators, community leaders, and organizations behind me supporting my campaign to be Virginia’s next Lieutenant Governor.
Passover
Passover begins this Saturday evening, marking the beginning of a week-long holiday of prayer and special gatherings of family and friends. We wish all who are celebrating a meaningful and peaceful holiday. Chag Pesach Sameach!
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Connecting With My Office
My office can be reached at the following:
Email: [email protected] [gmail.com]
Phone: 804.698.7515
If you were forwarded this email, you can sign up to receive my office’s weekly newsletter here [[link removed]] .
— Ghazala
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