Business is booming in Texas, but so is uncertainty

Andy Uhler Jul 31, 2018
HTML EMBED:
COPY
The Deer Park Shell Manufacturing Complex in Deer Park, Texas. BRENDAN SMIALOWSKI/AFP/Getty Images

Business is booming in Texas, but so is uncertainty

Andy Uhler Jul 31, 2018
The Deer Park Shell Manufacturing Complex in Deer Park, Texas. BRENDAN SMIALOWSKI/AFP/Getty Images
HTML EMBED:
COPY

First, the good news: Manufacturing is up in Texas. That’s according to a new survey from the Federal Reserve of Dallas that tracks production and factory output month to month. In July, hiring up was up, shipments were up and demand stayed above average. Now the not so good news: Uncertainty is also up. That may have something to do with a little thing called tariffs

“If there is a state that is going to be impacted by trade relationships, it’s going to be Texas” said Chris Bryan, communications director for the Texas state comptroller. “We are the No. 1 exporting state going away by a pretty good margin.” 

Respondents from different manufacturing sectors in Texas were more than happy to tell the Dallas Fed what they are worried about. Take this from a primary metal manufacturer: “What will President Trump do next, and will it help or hurt?” Chemical manufacturers were even more direct with their feedback: “Chinese tariffs will have a large negative impact on business.” 

Click on the audio player above to hear the full story. 

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.  

Need some Econ 101?

Our new Marketplace Crash Course is here to help. Sign-up for free, learn at your own pace.