Tip Sheets

Cornell experts on tariff impacts for auto, clothing sectors

Media Contact

Adam Allington

Americans may soon find they're paying more for a host of products after President Trump announced two new types of tariffs on April 2. Two sectors expecting significant impacts include the clothing and automobile sectors.


Denise Green

Director of Graduate Studies in Fiber Science & Apparel Design

Denise Green, director of the Cornell Fashion + Textile Collection, says the bulk of apparel and shoes sold in the U.S. are manufactured in China, Vietnam, Sri Lanka and Bangladesh.

Green says: 

“The tariffs are disastrous for the apparel industry worldwide, but especially for smaller countries with highly specialized garment manufacturing. Sri Lanka, for example, is well known for ethical and sustainable production of intimate apparel. With one of the highest tariff rates at 44%, they are faced with a tremendous challenge to stay competitive. We will inevitably see these costs passed onto consumers.”

Arthur Wheaton

Director of Labor Studies, ILR School

Art Wheaton is an auto industry expert in Cornell’s School of Industrial and Labor Relations. He says even U.S.-made vehicles include parts imported from other countries — parts which will now cost more and result in increased prices of cars and trucks.

Wheaton says:

“The tariff announcement was intended to give clarity on tariff policy. Unfortunately, it has created more questions and confusion instead of concrete answers. The largest question is still about U.S., Mexico and Canada trade and parts. The auto parts question is of highest concern and confusion and the U.S. still lacks the ability to track smaller parts and their sourcing.

“This instability and confusion has already triggered plant shutdowns in Canada and Mexico in Stellantis plants. This reduces supply and heightens consumer and employee concerns. What the industry craves is stability. Give us the rules and we will figure it out. This uncertainty causes chaos.”

Cornell University has dedicated television and audio studios available for media interviews.