Trump claims Michigan economy thriving amid mixed reactions to tariff policy
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President Trump praised Michigan's auto sector during a visit to a GM plant, while economists and some voters cite higher costs and job losses linked to tariffs and rising fuel prices.
President Donald Trump told a crowd at a General Motors plant that Michigan’s auto industry was performing better than ever, crediting recent tariff measures for the improvement. He later repeated the message at a rally in Milford, north-west of Detroit, describing the state as “thriving.”
Economists and industry groups, however, note that higher import taxes have raised production costs and contributed to increased consumer prices. Rising gasoline prices, which they attribute in part to the conflict in Iran, have further strained household budgets, according to recent polls.
At the rally, some supporters voiced concerns about the economic impact. Lisa Scherer, a 64-year-old from Ohio who traveled five hours to attend, said high fuel costs are making everyday necessities difficult to afford and that she feels the administration has overlooked people on fixed incomes.
"I guess, no pain, no gain," she added.
Automaker General Motors said it was honored to host the president, while the company and other manufacturers have warned that tariffs increase production expenses. The White House has mitigated some effects by extending relief on certain auto-parts tariffs through 2030.
Michigan pollster Bernie Porn remarked that Trump’s rhetoric does not align with voters’ experiences, noting that inflation and affordability remain top concerns.
"When I was listening to him, I said, 'What planet are you on?'"
Not all attendees shared the criticism. Joe Miskovich, an aerospace business owner, argued that any price increases are temporary and that the long-term benefits outweigh short-term costs.
"There might be a little higher increase in price, but the long-term effect is going to be absolutely positive to the nation," he said.
The rally also featured endorsements for Republican candidates in upcoming primaries, including Rep. John James and former Rep. Mike Rogers. Michigan House Speaker Matt Hall praised Trump’s trade policies and highlighted a new fighter-jet mission for Selfridge Air National Guard Base as evidence of putting Michigan first.
Automakers have announced plans to shift some production from Mexico to the United States, with GM, Ford, Stellantis and Toyota outlining multi-year investment programs. Nevertheless, Bureau of Labor Statistics data show a decline of about 4,000 auto-parts jobs over the past year and a total loss of roughly 8,300 manufacturing jobs in Michigan since the tariffs were announced.
Despite the mixed economic signals, the Milford crowd remained largely supportive, chanting “10 more years!” and expressing confidence that the tariff strategy will yield long-term benefits.
"You may not like it at first, but it's short-term pain for long-term good," said Roy Parks, a self-employed handyman.