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Trade deficit with China costs jobs in Ohio since 2001

May 02, 2007

Trade deficit with China costs jobs in Ohio since 2001

May 02, 2007

In Costly Trade with China, a new report issued May 2 by the Economic Policy Institute, economist Robert Scott reports that Ohio lost 66,100 jobs and job opportunities since 2001 when China entered the World Trade Organization. This number of jobs equaled about 1.2 percent of our state's total employment base in 2006. Ohio ranked as the 8th hardest hit state in numeric terms. Nationally, 1.8 million jobs were displaced since 2001, averaging 353,000 per year—more than the total employment in greater Toledo. About three-fourths of the jobs were in manufacturing, and the rest in services closely related to manufacturing.

The 1.8 million jobs lost nationwide since 2001 are distributed among all 50 states and the District of Columbia. The hardest hit states in numeric terms are California (-269,300), Texas (-136,900), New York (-105,900), Illinois (-79,900), Pennsylvania (-78,200), North Carolina (-77,200), Florida (-71,900), Ohio (-66,100), Georgia (-60,400), Massachusetts (-59,300), Michigan (-54,900), and New Jersey (-49,500). These results are based on an analysis of the net employment impact of imports and exports. Although U.S. exports to China have grown, imports from China have grown far more rapidly, with import growth outstripping export growth by over five to one.

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