Today, the Georgia Chamber of Commerce announced the publication of its seventh tariff report, Strategic Trade Shifts & Georgia’s Outlook. The report was released following the Trump Administration’s August 1 deadline for countries to reach trade deals with the United States.

The publication focuses on the status of trade negotiations with some of Georgia’s most critical trade partners, including Mexico, Georgia’s largest trade partner; China, Georgia’s second-largest trade partner; and Canada, Georgia’s fifth-largest trade partner, as well as other valuable trade partners including the European Union and Japan.

All information in the report Strategic Trade Shifts & Georgia’s Outlook is accurate as of 09:30 AM on August 7.

Georgia set new records for international trade activity in 2024, with $198.7 billion worth of total trade, making Georgia the sixth-largest state in the United States for total trade. Georgia-grown, -made, and -produced goods reached 219 unique export markets.

This report is part of the Georgia Chamber’s ongoing commitment to assist businesses and communities in navigating tariff measures and other trade barriers. Each of the Chamber’s tariff reports can be found here. In February, the Georgia Chamber launched its Global Business Subcommittee to provide insights, coordination, and advocacy for Georgia’s agriculture, business, and industry partners invested in international trade.

Insights from the report include:

• U.S.-Japan Trade & Investment Agreement: Avoids steep tariffs (up to 27.5%) in exchange for a $550 billion Japanese investment pledge in “core American industries,” and expanded purchases of U.S. goods. Some political pushback in Japan may lead to revisions.

• U.S.-EU Tariff Deal: Sets a 15% U.S. tariff on most EU imports (steel/aluminum stay at 50%) and averts escalation. In return, the EU commits to eliminating tariffs on U.S. goods and investing $600 billion in the U.S. by 2028 and increasing its U.S. energy purchases.

• Canada: Tariffs have been increased from 25% to 35%. Goods qualifying for preferential tariff treatment under the United States-Mexico-Canada Agreement (USMCA) continue to remain not subject to the IEEPA Canada tariffs.

• Mexico: Tariffs have been delayed for 90 days as negotiations continue.

• Other Recent Announcements: Agreements with Indonesia, Vietnam, and the Philippines keep U.S. tariffs at moderate levels (19–20%) in return for reduced trade barriers and major U.S. export commitments. Talks with China are ongoing, with tariff increases on hold for now. 

What It Means for Georgia

These deals open the door for more exports of Georgia’s farm goods, cars, and aircraft while creating opportunities for foreign investment. But higher import tariffs may raise costs for local manufacturers that rely on overseas steel and parts. The full report details the potential gains and challenges across Georgia’s key industries.