Trump’s plans for mass deportations and tariffs could seriously cost black households

“Los Angeles’ economy will grind to a halt,” Los Angeles Mayor Karen Bass said as town braces for the incoming Trump administration’s threat of mass deportations of undocumented immigrants soon after Donald Trump’s inauguration on Jan. 20, 2025.

“Fewer workers means higher wages because employers will have to increase their wages to attract more candidates to fill the positions vacated by deported workers,” explained Allan Boomer, chief investment officer at Momentum Advisors. “As labor costs rise, businesses will face a choice: cut their own profits or raise prices.”

Mayor Bass said that along with calling President-elect Trump’s deportation plan “extremely cruel,” it is going to also devastate the local economy as she and other state and local leaders prepare for the threat to develop into a reality.

Marc Morial, president and CEO of the National Urban League, said it is going to have a serious economic impact on Black communities.

Sanctuary cities are scattered across the country, including New York, Washington, D.C., and Baltimore, Maryland. However, in Los Angeles, town council is able to codify into law the designation of a sanctuary city for migrants. The ordinance would also prohibit using city resources or personnel to help federal immigration enforcement agencies.

Mayor Bass believes that even with the designation becoming law, the specter of mass deportations is making a “wave of enormous fear in the community.” She said town could face an economic collapse if immigrants are deported or if Trump tries to retaliate against sanctuary cities, corresponding to withholding federal funding from cities that provide secure havens for migrants.

When asked if he would love to return to the United States if the chance arose, Saidou, who currently works on an oil barge in West Africa, emphatically answered “no” because of his experience with deportation.

Another harsh reality facing the economy is the inevitable trade issue, which has been linked to immigration by President-elect Trump, whose planned tariffs on other countries will ultimately be absorbed by American consumers.

“The customer ultimately pays the additional costs,” he said.