NextFin news, Michigan Governor Gretchen Whitmer delivered a speech on Tuesday, September 16, 2025, in Lansing, warning that President Donald Trump’s tariffs are causing significant economic harm to Michigan’s key industries, particularly manufacturing and agriculture, while the state faces a critical budget deadlock.
Whitmer emphasized that the tariffs on imported steel, aluminum, and auto parts—especially those from Canada and Mexico, Michigan’s largest auto trading partners—have created uncertainty that is stalling business investments and threatening jobs. She noted that 1.2 million Michiganders are employed in the automotive supply chain, representing one in five jobs in the state.
“Uncertainty breeds paralysis. And paralysis costs jobs,” Whitmer said, underscoring that the tariffs have led to increased costs for manufacturers and farmers, reduced agricultural exports, and higher food prices. The Michigan Department of Agriculture and Rural Development reported that retaliatory tariffs have dried up export markets critical to Michigan’s farmers and producers.
The governor also linked the tariffs to broader economic volatility in Michigan, citing rising inflation, increased unemployment claims, and stagnant job growth. She called the national tariff policy “chaotic” and criticized the federal government for applying tariffs indiscriminately.
Whitmer’s remarks came amid a stalled state budget process in Michigan’s divided legislature, with a deadline looming on September 30, 2025. The Republican-controlled House and Democratic-led Senate have yet to agree on a spending plan, raising the risk of a government shutdown that could disrupt vital state services and lead to layoffs of state employees.
In her speech, Whitmer urged lawmakers to find bipartisan solutions to the budget impasse and pledged to advocate for more strategic and precise tariff policies with federal officials in Washington, D.C. She stressed the need to support Michigan’s middle-class jobs, infrastructure, education, and public safety.
Republican lawmakers have defended the tariffs as necessary to rebuild American manufacturing capacity, while blaming other factors such as federal spending and policies for economic challenges. Meanwhile, Michigan’s business community expressed concern over the combined effects of tariffs and budget uncertainty on investment and job stability.
Whitmer’s address followed her recent trade mission to Japan and Germany aimed at securing job deals and promoting Michigan’s economic interests abroad. She outlined goals to make it easier to build factories, create and retain jobs, and incentivize innovation in Michigan’s manufacturing sector.
The governor concluded by highlighting shared priorities across political divides: healthy families, good-paying jobs, affordable food, safe communities, and a stronger Michigan economy.
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