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At the White House, surrounded by coal miners and members of Congress earlier this month, President Trump signed an executive order he said would boost the coal industry to thundering applause. 

“This is a very important day to me because we’re bringing back an industry that was abandoned,” he said to the crowd.

But that order came amid an escalating trade war. 

In February, the president imposed tariffs on American trading partners Mexico and Canada, which he extended to China. That move tacked a 10% tax on all Chinese imports, reigniting a trade war.

China retaliated with tariffs taxing American coal and natural gas by 15%, hitting an important sector of West Virginia’s economy. The state provides 28% of the nation’s coal exports, more than any other state.

Trump has positioned himself as a champion of coal, vowing to “end  Joe Biden’s war on beautiful, clean coal,” roll back regulations and bring back mining jobs. However, his administration’s escalating trade battle with China is putting pressure on manufacturers and resource-based industries. 

“The president has really articulated two competing objectives,” said Nick Messenger, senior researcher at the Ohio River Valley Institute. 

“He wants to unleash American energy and pull more coal out of the ground, but at the same time, he’s implemented policies reducing the number of places coal producers can sell to through tariffs.”

Tariffs, essentially taxes on imported goods, drive up consumer prices and reduce producers’ profits. While they were once a tool to help developing nations raise revenue, Trump argues they will be bargaining chips to negotiate better trade agreements. 

While President Trump has flip-flopped on many of his tariff threats, he’s remained steadfast on targeting China, much like he did during his first presidency. 

Steve Roberts, president of the West Virginia Chamber of Commerce, said the state’s economy is deeply reliant on international trade, and business leaders are concerned about how tariffs would impact prices and profits. 

“We stand to be hurt by a trade war,” he said. “Instability is also a factor, and businesses need predictable rules and regulations. Fear kills appetites, and fear kills economic growth.”

A direct hit to West Virginia’s economy 

Across West Virginia, the once-booming coal industry has seen mining jobs roughly cut in half between 2011 and 2024, with mine closures and job losses as the nation shifted away from coal and toward cheaper natural gas and cleaner renewables. 

In the southern coalfields, mining for decades dominated local economies. Residents and politicians are still waiting for a resurgence that most experts say is unlikely to come.

Last year, West Virginia exported nearly $5 billion worth of goods, including chemicals, machinery, metals, petroleum and coal to countries around the world. 

The year prior, China was the state’s second-largest trading partner, receiving $544 million in exports, mostly synthetic fibers, coal, wood, and chemicals. The retaliatory tariffs China imposed on U.S. goods mean those products would cost them more and discourage sales.

When Trump announced his first round of tariffs in February, Bob Braithwaite, vice president of marketing for Core Natural Resources, which generates 60% of its annual revenue from coal exports, told analysts that the domestic market was strong. 

Despite warning shareholders about the negative effects of tariffs, Braithwaite was optimistic that domestic demand could make up the difference.

“Although the tariff situation has certainly moved the trade around, I will tell you that there’s certainly enough demand out there today to cover the volumes that we were moving to China last year,” he said. 

But by this month, the international effects were already surfacing across the coal industry. 

Messenger said freight bookings were down 64% for shipments to Chinese ports, and demand for American coal has dropped since the tariff announcements.

“They’re paying on both sides of the ocean right now, which makes China look at other countries for coal,” he said. “They won’t need it from West Virginia.”

If the Trump administration’s tariffs had been in effect last year, they would have amounted to more than $575 million in new import taxes for West Virginia businesses.

And the burden on West Virginians would’ve been just as heavy. 

An average household would’ve seen an increase of nearly $800 a year in federal taxes tied to the tariffs, hurting families already struggling with high housing costs and inflation.

Christina Fattore, a West Virginia University political scientist, specializes in international trade relations. She said upholding strong, positive trade partnerships with countries like China has more benefits than breaking them. 

“The extent to which we are facing tariffs is at a level we haven’t seen since ​​World War II,” she said. “They punish domestic coal producers, and miners will lose their jobs.”

A storm in the coalfields

Alliance Resource Partners, the fourth-largest coal producer in the U.S., operates two mines in West Virginia. In February, the company told shareholders the administration’s tariff plans could have serious implications for its international business.

“These tariffs, along with potential retaliatory measures, could reduce economic activity, increase costs, decrease demand, and alter purchasing behaviors for thermal and metallurgical coal,” the company stated in an annual report.

Cecil Roberts, president of the United Mine Workers of America, said miners are already feeling the pressure. 

“There’s a storm brewing in America’s coalfields,” he said in a statement, “They deserve answers from the administration as to why it appears there is now a target on their backs.”

Reach reporter Tre Spencer at tre@mountainstatespotlight.org