Buffalo, N.Y., January 10, 2026
A recent survey by the Buffalo Niagara Manufacturing Alliance reveals that New York State manufacturers are facing significant operational challenges due to ongoing tariffs. While a slight growth in new orders has been noted, hiring plans are softening, and manufacturers are passing increased costs onto customers. Overall, the impact of tariffs remains largely negative for the majority of businesses surveyed. The Executive Director plans to present the findings to lawmakers to encourage policy changes that could alleviate these pressures.
Buffalo, N.Y. – Manufacturers Report Adverse Effects of Tariffs on Business Operations
BUFFALO, N.Y. – A recent survey conducted by the Buffalo Niagara Manufacturing Alliance, in partnership with the Manufacturing Association of the Southern Tier, reveals that New York State manufacturers are experiencing significant challenges due to ongoing tariffs. The survey, which targeted 1,000 member manufacturers, indicates that while new orders have shown modest improvement, hiring plans have softened, and businesses are increasingly passing tariff-related costs onto customers. Overall, the impact of tariffs has been negative for the majority of respondents.
Survey Findings
- New Orders: Approximately 17% of manufacturers reported some growth in new orders compared to the previous survey, suggesting a modest improvement in demand.
- Hiring Plans: There is a noticeable decline in hiring intentions, indicating a cautious approach to expanding the workforce amid economic uncertainties.
- Cost Pass-Through: A clear trend towards transferring tariff-induced costs to customers has been observed, reflecting the financial strain on manufacturers.
- Overall Impact: The general consensus points to a negative effect on business operations, with many manufacturers expressing concerns about the sustainability of their current business models under the prevailing tariff conditions.
Industry Response
Peter Ahrens, Executive Director of the Buffalo Niagara Manufacturing Alliance, emphasized the challenges faced by manufacturers, likening the situation to a household facing uncertainty and opting to delay significant investments. He plans to present the survey findings to Republican lawmakers to advocate for policy adjustments. A follow-up survey is scheduled for early May to assess any changes in the manufacturing sector’s outlook.
Background Context
Tariffs have been a part of the economic landscape for approximately seven months, introduced as part of an “America First” trade policy aimed at reducing trade deficits, protecting domestic businesses, and reversing previous trade policies. The manufacturing sector, a significant contributor to New York’s economy, has been particularly affected by these trade measures, leading to increased operational costs and strategic adjustments to maintain profitability.
Related Developments
In related news, Procter & Gamble reported fiscal first-quarter earnings that exceeded Wall Street expectations, citing a reduced impact from tariffs for fiscal 2026. The company anticipates $400 million in after-tax costs due to tariffs, a decrease from the previously forecasted $800 million. This suggests that some manufacturers are finding ways to mitigate the effects of tariffs through strategic pricing and cost management.
Additionally, Mexico has overtaken China as the leading source of goods imported by the United States, reflecting shifts in global trade dynamics influenced by tariff policies. This change underscores the broader impact of tariffs on international trade relationships and supply chain strategies.
Conclusion
The survey conducted by the Buffalo Niagara Manufacturing Alliance highlights the ongoing challenges faced by New York State manufacturers due to tariffs. While some companies are adapting through strategic measures, the overall sentiment remains cautious. Continuous monitoring and responsive policy adjustments will be crucial to support the manufacturing sector’s resilience and growth in the evolving trade environment.
Frequently Asked Questions (FAQ)
What is the main finding of the recent survey conducted by the Buffalo Niagara Manufacturing Alliance?
The survey indicates that New York State manufacturers are experiencing significant challenges due to ongoing tariffs, with new orders showing modest improvement, hiring plans softening, and businesses increasingly passing tariff-related costs onto customers.
What is the Buffalo Niagara Manufacturing Alliance’s plan following the survey results?
Peter Ahrens, Executive Director of the Buffalo Niagara Manufacturing Alliance, plans to present the survey findings to Republican lawmakers to advocate for policy adjustments. A follow-up survey is scheduled for early May to assess any changes in the manufacturing sector’s outlook.
How have other manufacturers responded to tariff impacts?
Procter & Gamble reported fiscal first-quarter earnings that exceeded Wall Street expectations, citing a reduced impact from tariffs for fiscal 2026. The company anticipates $400 million in after-tax costs due to tariffs, a decrease from the previously forecasted $800 million, suggesting that some manufacturers are finding ways to mitigate the effects of tariffs through strategic pricing and cost management.
What broader trade trend is highlighted in the article?
The article notes that Mexico has overtaken China as the leading source of goods imported by the United States, reflecting shifts in global trade dynamics influenced by tariff policies. This change underscores the broader impact of tariffs on international trade relationships and supply chain strategies.
Key Features of the Article
| Feature | Description |
|---|---|
| Survey Findings | Highlights challenges faced by New York State manufacturers due to tariffs, including mixed new orders, softened hiring plans, and increased cost pass-through to customers. |
| Industry Response | Details the Buffalo Niagara Manufacturing Alliance’s plan to present survey findings to lawmakers and schedule a follow-up survey in May. |
| Background Context | Provides information on the introduction of tariffs as part of an “America First” trade policy and their impact on the manufacturing sector. |
| Related Developments | Mentions Procter & Gamble’s fiscal first-quarter earnings exceeding expectations and Mexico overtaking China as the leading source of U.S. imports. |
| Conclusion | Summarizes the ongoing challenges faced by manufacturers and the need for continuous monitoring and policy adjustments to support the sector. |
Now Happening on X
- @SenSchumer (April 7, 2025): Warns that Trump’s tariffs could push New York into a recession, threatening $20 billion in costs and 260,000 jobs in the trade hub state. View on X
- @kevinolearytv (December 17, 2025): Explains that tariffs impact the economy as reciprocal measures against VAT taxes, though implementation details matter for fairness. View on X
- @xray_media (January 9, 2026): Highlights ongoing manufacturing job losses due to tariffs, with December’s data showing an 8,000 job drop amid broader economic fallout. View on X
- @xray_media (January 9, 2026): Criticizes tariffs for raising input costs by 18.4%, leading to 94,000 job cuts and $1,400 added per vehicle in the auto sector. View on X
- @xray_media (January 9, 2026): Notes that since January 2025, tariffs have increased manufacturer costs by 14%, resulting in 90,000 lost goods production jobs. View on X
- @BradSpencer (January 9, 2026): Points out that tariffs disrupt value-added manufacturing by shutting down import-dependent factories, with new ones slow to emerge. View on X
- @texasgermanbre (January 8, 2026): Details how tariffs raise material costs, extend lead times, and reduce U.S. firms’ competitiveness, acting as a tax on domestic production. View on X
- @mariaaureacava1 (January 5, 2026): Cites economists’ warnings that broad tariffs increase raw material prices, contributing to a downward trend in manufacturing employment. View on X
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