Trump's tariffs are stifling job growth in America.

The American labor market is showing signs of weakness after Donald Trump's tariff policies were enacted. Many companies have reduced hiring, frozen recruitment, or laid off employees due to rising costs and instability. The sectors most affected are manufacturing, wholesale – retail investor, and energy. For example, EarthQuaker Devices, a guitar pedal crafting company, has temporarily halted personnel expansion due to unpredictable tariff levels making it difficult to forecast future costs.

In August, the number of new jobs only increased by 22,000, with the manufacturing sector losing 12,000 jobs, the mining sector losing 6,000, and wholesale trade falling by 32,000. Critics argue that tariffs are like surprise taxes that hinder growth. However, the Trump administration argues that tariffs will encourage domestic business investment, rebuild manufacturing, and ultimately increase jobs. Economists predict that this situation could lead the Federal Reserve to consider cutting interest rates, as the slowdown in job growth may help relieve inflationary pressures.