Madison Reporter

Wisconsin business leaders have expressed support for President Donald Trump's proposal to impose tariffs on Chinese imports, according to the latest Wisconsin Employer Survey by Wisconsin Manufacturers & Commerce (WMC). The survey indicates that 86% of respondents back tariffs on countries like China due to perceived unfair trade practices. However, there is less enthusiasm for tariffs on Canada and Mexico, with only 44% in favor of a 25% tariff, while 56% oppose it. Despite this, 73% agree with using tariffs as a strategy to curb illegal immigration into the United States.

Regarding the impact of increased tariffs on their businesses, half of the respondents anticipate negative effects, whereas 26% foresee positive outcomes and 24% expect no impact.

"Wisconsin is a manufacturing and agricultural state," said Kurt Bauer, WMC president/CEO. "We make, grow and process things and we want to sell them around the world. But business leaders are saying that we need our trading partners to play by the rules."

The survey also reveals strong support for immigration reform among Wisconsin business leaders. A significant majority of 89% believe reform should begin with securing the U.S. southern border. Furthermore, there is overwhelming support for updating the guest worker program with an emphasis on H-1B visas; 96% advocate raising the cap from its current limit of 85,000 specialized foreign workers. Additionally, nearly all respondents favor new visa options for high-demand roles to address labor shortages in Wisconsin.

"WMC has been advocating for reforming the guest worker program for some time," Bauer stated. "Demographic trends show that Wisconsin needs workers now and well beyond mid-century. Foreign workers must be part of the solution, or our state will lose jobs and the economic activity that goes with them."

Tax policy also emerged as a key concern in the survey results. An overwhelming majority of respondents—97%—support making permanent provisions from the Tax Cuts and Jobs Act (TCJA) enacted in 2017. A study by the National Association of Manufacturers warns that not renewing these tax provisions could cost Wisconsin substantial job losses and economic setbacks.

Manufacturing plays a crucial role in Wisconsin's economy, contributing nearly $72 billion annually to GDP. About 90% of those surveyed endorse reducing corporate tax rates for manufacturers to 15%. Furthermore, 94% favor permanently implementing Section 199A deductions to equalize tax rates between C-Corporations and pass-through entities.

"Renewing the 2017 tax provisions is critical to our nation’s global competitiveness," Bauer remarked. "Lowering taxes, along with reducing the cost of regulations and tapping U.S. energy resources, will be a massive force multiplier for our economy."

Conducted biannually by WMC, this survey offers insights into employer perspectives across various issues affecting both state and national economies. For its Winter 2025 edition, WMC gathered responses from a representative sample of its membership comprising businesses diverse in size, industry sector, and geographic location throughout Wisconsin.