When President Trump talks trade this weekend with the president of China, the stakes could be high for a western Massachusetts factory.
The White House plan to raise existing tariffs on Chinese goods to 25 percent on January 1st will add to the cost of making subway cars at the CRRC factory in Springfield.
The rail car shells and some other parts are imported from China.
CRRC spokeswoman Lydia Rivera called the trade policy “unfair” given what the Chinese-owned company has done for the region’s economy by building a $95 million factory and employing 130 people in good-paying union jobs.
"We are being clearly targeted, CRRC," said Rivera.
Addressing the World Affairs Council of Western Massachusetts Thursday, Rivera said the company is waiting for the federal government to respond to its applications for waivers from the tariffs.
CRRC has a contract to supply more than 400 subway cars to the Massachusetts Bay Transportation Authority ( MBTA) to replace its aging fleet on the Orange and Red lines.
The first pair of new Orange Line cars are scheduled to be delivered from the Springfield factory to the MBTA in December.
Rivera said it is unknown how much the 25 percent tariffs could add to the price of each car.
She said 60 percent of the parts used to assemble the subway cars are made in America.
CRRC plans to use the Springfield factory to build new subway cars for Philadelphia and Los Angeles.
The company is also fighting to defeat legislation before Congress that would ban it from doing manufacturing in the United States on national security grounds.
