According to new research on West Virginia’s imports from the so-called “new TPP” countries not covered by existing free trade agreements (i.e., Brunei, Japan, Malaysia, New Zealand, and Vietnam), the TPP would cut import taxes paid by West Virginia employers dramatically. These benefits come in addition to opening new markets for exports and modernizing outdated rules.
How much could West Virginia employers save? In 2015, imports into West Virginia from new TPP countries faced an estimated $28.5 million in tariffs (i.e., taxes). TPP could eliminate 96 percent of these taxes by year five, saving as much as $133.2 million over that period, as shown in the graph below.
What types of products would be impacted? Imports into West Virginia are a mix of raw materials and components used by American manufacturers and finished goods sold directly to American families. Clearly, not all the tariffs go away: many imports are subject to phase-outs and tariffs would remain in place for up to 30 years on certain sensitive items. The box below highlights select imports into West Virginia whose import taxes would fall to zero upon implementation of TPP.
More information. The one-page fact sheet with the above information (and more) on potential TPP import benefits for West Virginia employers is available here, while sheets with potential TPP import benefits for all states are available here.
Looking for more information? Please use the links below to:
- Download the one-page fact sheet on potential TPP import benefits for West Virginia.
- View the map highlighting potential TPP import benefits for all other states.
- Learn how TPP would impact taxes charged on your imports.
- Visit the Trade Benefits America website for more general info on trade and investment between states and TPP countries.