Tennessee

TNHigh Impact — 70/100

Tennessee's economy mirrors the broader American tariff dilemma: a booming auto sector dependent on global supply chains and an iconic spirits industry directly targeted by retaliatory tariffs. Nissan's Smyrna plant (the largest auto assembly plant in North America), GM's Spring Hill facility, and Volkswagen's Chattanooga plant all face 25% tariffs on imported components from Japan, Mexico, and Germany. Tennessee's auto suppliers — 900+ firms employing 130,000+ — feel every tariff increase on their margins. The state's Tennessee whiskey industry (Jack Daniel's, George Dickel) is in the EU's retaliatory crosshairs: the 25% EU tariff on American whiskey was specifically designed to hurt Tennessee and Kentucky, and Jack Daniel's EU sales dropped 20%. FedEx, headquartered in Memphis, sees tariff-driven trade volume declines ripple through its global logistics network — Memphis serves as its worldwide superhub sorting 3.5 million packages daily. Tennessee's music industry in Nashville generates billions in IP that trade tensions can complicate. The state's cotton and soybean farmers face retaliatory tariffs, and healthcare company HCA (Nashville) faces higher costs on imported medical equipment.

💡

Tariffs cost the average Tennessee household $1,660/year — that's 75,000 jobs at risk and $11.0B in exports threatened by foreign retaliation. Tennessee scores 70/100 on tariff impact severity.

Impact Score

📊

70/100

High Impact

Household Tariff Cost

🏠

$1,660

Annual estimated burden

Jobs at Risk

👷

75,000

Trade-dependent employment

Exports at Risk

📦

$11.0B

Annual export value threatened

🏭 Industry Impact

Industry	Jobs at Risk	Export Value	Tariff Exposure
Automotive (Nissan/VW/GM)	30,000	$4.5B	25% auto tariff
Whiskey & Spirits	8,000	$1.8B	Retaliatory 25% (EU)
Logistics (FedEx)	15,000	$2.0B	Volume decline 10-15%
Medical Devices & Healthcare	10,000	$1.5B	10-25% equipment
Agriculture	8,000	$1.0B	Retaliatory 25%

📦 Key Trade Products

↑ Exports

Vehicles (Nissan/VW)$4.5B

25%

Tennessee Whiskey$1.8B

Retaliatory 25%

Medical Devices$1.5B

10%

↓ Imports

Auto Parts$5.5B

25%

Electronics (FedEx hub)$3.0B

10-25%

🏭 Top Exports

Key industries facing trade disruption:

1Vehicles

2Medical Devices

3Chemicals

🎯 Retaliation Targets

Products targeted by foreign retaliation:

⚠️Whiskey

⚠️Cotton

⚠️Soybeans

💡 Did You Know?

•Nissan's Smyrna plant is the largest auto assembly plant in North America — 640,000 vehicles per year with global parts
•The EU's 25% retaliatory tariff on American whiskey specifically targets Jack Daniel's — TN whiskey EU sales dropped 20%
•FedEx's Memphis superhub sorts 3.5 million packages daily — tariff-driven trade declines reduce volume
•Tennessee has 900+ auto supplier firms employing 130,000+ workers — the 25% parts tariff threatens the entire network