California's agriculture sector, the largest in the U.S. with a value of nearly $25 billion, is particularly vulnerable to these retaliatory tariffs, which could impact exports of nuts, fruits, and vegetables.

On April 2, 2025, former President Trump imposed a 10% tariff on a broad range of goods, with significantly higher rates for specific countries: 24% on Japan, 25% on South Korea, and 34% on China.

Economists, including Mark Zandi of Moody's Analytics, warn that these tariffs represent a substantial tax on the American economy, likely provoking retaliatory measures from trade partners.

In response, China has called for the immediate lifting of tariffs, threatening swift countermeasures that could target U.S. agricultural exports for political leverage.

Economists caution that these tariffs will negatively affect the logistics and manufacturing sectors in the Los Angeles area, which employ around 830,000 workers.

The tariffs could lead to a projected 10% decline in cargo volume at the Port of Los Angeles, according to Executive Director Gene Seroka, which would result in fewer jobs and an economic slowdown.

Moreover, Los Angeles relies heavily on imports for essential goods such as lumber, appliances, and metals, which are now subject to increased tariffs, further straining the local economy, especially in the aftermath of recent wildfires.

Additionally, California's manufacturing exports, valued at approximately $160 billion in 2024, may also face similar retaliatory tariffs, threatening key industries such as electronics and machinery.

While some companies are announcing investments in the U.S. in response to the tariffs, economists predict that the immediate inflationary effects will outweigh any long-term benefits, raising concerns about a potential recession.

The Los Angeles-Long Beach port complex is vital for U.S. trade, handling about one-third of the nation's container imports and exports, and is significantly impacted by the new tariffs.

The transportation and trade sector is one of the largest employment clusters in Los Angeles County, meaning that disruptions at the ports will have widespread economic implications.

The tech sector is also highly vulnerable, with companies like Apple facing import tariffs on components necessary for servicing both U.S. and global markets, complicating global supply chains.