Tariffs Will Reignite U.S. Manufacturing, But It May Take Time

For Immediate Release: April 4, 2025

Washington, D.C. - U.S. factories gained 1,000 jobs in March, according to the Bureau of Labor Statistics on Friday. The flat number came ahead of President Trump's highly anticipated reciprocal trade announcement, which established a 10% baseline tariff and significant tariffs on the United States' least reciprocal trading partners.

"Factory jobs were essentially flat in March, lagging well behind employment gains in other sectors," Alliance for American Manufacturing President Scott Paul said. "I suspect some of this stagnation was due to policy uncertainty on tariffs, as well as imports battering specific manufacturing sectors. Looking ahead, it may take some time for the tariff changes to move the needle upward on factory jobs, but there are already signs that some companies are expanding production."

Heavy equipment manufacturer JCB announced on Thursday that it will double the size of a new factory currently under construction in San Antonio, Texas, in response to the Trump administration's reciprocal tariffs. The factory will employ up to 1,500 people and start production in 2026. Following the tariff announcement, General Motors also outlined plans to increase production of light-duty trucks at its Fort Wayne, Ind., assembly plant.

Paul called the Trump administration's reciprocal tariffs "a necessary step in the right direction" in a statement on Thursday. He recently joined NewsNation's "Elizabeth Vargas Reports", Scripps News, and the United Kingdom's Channel 4 News to discuss Trump's trade action.

Paul is available for interview.