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As U.S. negotiates with China, some firms look to Mexico

In Michigan, which is likely to be a battleground state in 2020, EBW Electronics continued to produce lights for the auto industry even as nearby factories succumbed to competition and moved to Mexico.

President Trump’s tariffs may change that, executives told the NYT’s Peter S. Goodman. Pat LeBlanc, EBW’s chairman, who voted for Mr. Trump, said the trade war with China could halve the company’s profit for the year. “It’s killing us,” he said. “I just feel so betrayed.”

Chinese and American trade negotiators are meeting today in Beijing, hoping to extend a delicate truce. Tariffs as high as 25 percent on Chinese imports have left American companies such as EBW trying to pass higher costs of foreign components to their customers, struggling to keep up with competitors abroad and considering whether to move their plants and jobs outside the country.

• Mr. Trump says the U.S. has the stronger negotiating position: China, he said, will capitulate because it’s “not doing very well now.”