US Manufacturing Loses Thousands of Jobs Amid Tariffs, Immigration Crackdown

In Summary

  • US manufacturers cut 12,000 jobs in August; 42,000 lost since April.
  • Tariffs and legal challenges increase costs, discourage hiring.
  • Immigration enforcement and automation reduce labor availability.
  • Durable goods makers like automakers and appliance firms most affected.


Catenaa, Friday, September 12, 2025- US manufacturers cut 12,000 jobs in August, adding to a loss of 42,000 positions since April, according to a new analysis from the Center for American Progress (CAP).

The report links the decline to President Donald Trump’s trade policies, strict immigration enforcement, and the Republican-backed “big, beautiful bill,” which phases out certain renewable energy tax credits.

Overall manufacturing employment in 2025 has fallen by 33,000 jobs, with durable goods producers, including automakers and appliance manufacturers, hit hardest.

John Deere cited tariffs costing roughly \$300 million and laid off over 200 workers in Illinois and Iowa. Automakers also reduced nearly 5,000 positions in July.

Analysts warn that uncertainty over tariffs and ongoing legal challenges has discouraged hiring and expansion across the sector.

Experts say the Trump administration’s crackdown on immigration compounds labor shortages. ICE raids, such as the recent detention of 475 immigrants at a Hyundai plant in Georgia, remove essential labor from factories, pushing companies toward automation.

Economists note that pandemic-era automation investments have further reduced the demand for human labor, increasing productivity but shrinking employment opportunities.

Analysts warn that continued uncertainty over trade, immigration, and regulatory policies may further weigh on US manufacturing.

The White House and trade organizations did not immediately respond to requests for comment.

US manufacturing lost 12,000 jobs in August amid tariffs, immigration crackdowns, and automation trends, marking 42,000 positions shed since April as durable goods producers struggle.

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