Economic Anxiety Grips Republican Heartland as Tariffs Take Toll
A small town in Ohio, Jeffersonville, where a new electric vehicle battery manufacturing plant is set to bring hundreds of jobs and an economic boost, is bracing itself for the worst. Locals are working tirelessly to renovate the downtown area and pave streets, but many are worried that the whole project might be derailed by the Trump administration's tariff policies.
The facility, worth $3.5 billion and owned by Korean and Japanese companies LG Energy Solution and Honda, is expected to create 2,200 jobs in engineering and manufacturing roles. However, hundreds of workers from out-of-state have been hired for construction, causing concerns among locals about the impact on the community.
"We've had more people who have voted for Trump show up and say: 'This is not good, this is not what we voted for,'" says Amy Wright, a resident of Fayette county. "Tariffs are affecting everything." Wright's son works for a local company that supplies parts to Honda and recently received notice that his overtime work was being rescinded.
The situation in Jeffersonville is not an isolated incident. Across the Midwest, global giants Toyota and Stellantis have invested billions of dollars in small communities, including Kentucky's Georgetown town, where Toyota employs over 10,000 people. However, Toyota warned that it faces a $9.5 billion financial hit due to tariffs imposed by the Trump administration.
In Indiana, the Swiss pharmaceutical company Roche is reportedly considering pulling out of $50 billion worth of investment if Trump follows through on his executive order to target companies that don't reduce drug prices. Economist Michael Hicks says that these policies will have a significant impact on rural communities in the Midwest.
While some argue that tariffs will benefit small American towns in the long run, others believe that they will hit them hard. Robert Linder, co-owner of a restaurant near the Toyota facility, says that the company is doing fine and doesn't see tariffs as a big hurt.
However, recent reports suggest that even major announcements might not materialize. In Wisconsin, Foxconn claimed to spend $10 billion on a facility but instead left local taxpayers with a bill for $1.2 billion spent on infrastructure.
The impact of Trump's policies is also being felt in Ohio, where Honda announced it was reducing production at plants across the state due to a semiconductor chip shortage. Local officials had previously cited over 2,000 positions available at the Jeffersonville site, but the actual number has been reduced to just more than two dozen.
As Amy Wright notes, the situation is having a clear effect on residents of rural Ohio. "We've seen a change in the people who are coming to these rallies," she says. "They're saying: 'This is not good, this is not what we voted for.'"
				
			A small town in Ohio, Jeffersonville, where a new electric vehicle battery manufacturing plant is set to bring hundreds of jobs and an economic boost, is bracing itself for the worst. Locals are working tirelessly to renovate the downtown area and pave streets, but many are worried that the whole project might be derailed by the Trump administration's tariff policies.
The facility, worth $3.5 billion and owned by Korean and Japanese companies LG Energy Solution and Honda, is expected to create 2,200 jobs in engineering and manufacturing roles. However, hundreds of workers from out-of-state have been hired for construction, causing concerns among locals about the impact on the community.
"We've had more people who have voted for Trump show up and say: 'This is not good, this is not what we voted for,'" says Amy Wright, a resident of Fayette county. "Tariffs are affecting everything." Wright's son works for a local company that supplies parts to Honda and recently received notice that his overtime work was being rescinded.
The situation in Jeffersonville is not an isolated incident. Across the Midwest, global giants Toyota and Stellantis have invested billions of dollars in small communities, including Kentucky's Georgetown town, where Toyota employs over 10,000 people. However, Toyota warned that it faces a $9.5 billion financial hit due to tariffs imposed by the Trump administration.
In Indiana, the Swiss pharmaceutical company Roche is reportedly considering pulling out of $50 billion worth of investment if Trump follows through on his executive order to target companies that don't reduce drug prices. Economist Michael Hicks says that these policies will have a significant impact on rural communities in the Midwest.
While some argue that tariffs will benefit small American towns in the long run, others believe that they will hit them hard. Robert Linder, co-owner of a restaurant near the Toyota facility, says that the company is doing fine and doesn't see tariffs as a big hurt.
However, recent reports suggest that even major announcements might not materialize. In Wisconsin, Foxconn claimed to spend $10 billion on a facility but instead left local taxpayers with a bill for $1.2 billion spent on infrastructure.
The impact of Trump's policies is also being felt in Ohio, where Honda announced it was reducing production at plants across the state due to a semiconductor chip shortage. Local officials had previously cited over 2,000 positions available at the Jeffersonville site, but the actual number has been reduced to just more than two dozen.
As Amy Wright notes, the situation is having a clear effect on residents of rural Ohio. "We've seen a change in the people who are coming to these rallies," she says. "They're saying: 'This is not good, this is not what we voted for.'"