Michigan Tariff Policy Raises Costs for West Michigan Families as Governor Issues Emergency Orders

Governor Whitmer's Executive Actions Aim to Help Michigan Drivers Amid Rising Costs

Governor Gretchen Whitmer has taken two significant executive actions in response to what she describes as skyrocketing gas prices and the broader economic impact of federal tariffs. These measures directly affect millions of West Michigan residents, from the Grand Rapids area to Muskegon, Holland, and Battle Creek.

On April 2, 2026, Governor Whitmer issued Executive Order 2026-4, declaring an energy emergency. The order suspends May 1 requirements for lower vapor pressure gasoline in eight Michigan counties, including Wayne, Oakland, Macomb, Washtenaw, Livingston, Monroe, St. Clair, and Lenawee. These eight counties account for approximately five million Michiganders, which will translate into savings for nearly half of all drivers in the state.

The executive order will save motorists money at the gas pump by easing the requirements on fuel blends, allowing for the sale of higher vapor pressure gasoline which are typically 10 to 20 cents cheaper. Michigan drivers outside of these areas will see similar savings because they are already permitted to sell cheaper fuel blends without seeking a waiver.

The United States Environmental Protection Agency has issued a temporary waiver of federal vapor pressure requirements to allow the production, distribution, and sale of different gasoline blends. Executive Order 2026-4 brings the state in line with the EPA waiver, enabling access to a broader pool of gasoline and saving motorists money.

Tariffs Continue to Pressure West Michigan Economy

On the same day, Governor Whitmer issued Executive Directive 2026-2, which assesses the ongoing impact of federal tariffs on Michigan's economy. The directive reveals that tariffs have raised costs across multiple sectors, particularly affecting industries that are vital to West Michigan communities.

According to the directive, Michigan farmers selling soybeans, dairy, and other products abroad faced reduced demand when countries like China imposed counter-tariffs on U.S. goods. This has lowered farm revenues and created uncertainty in rural communities across the state.

For working families, tariffs have cost each family on average $1,000 per year. They have led to higher prices for cars, appliances, construction materials, and consumer products. U.S. consumers and businesses have borne most of the cost of these tariffs rather than foreign producers.

The directive notes that Michigan's industries have been hit hard, with a recent analysis finding that the tariffs cost U.S. automakers $35 billion last year. Michigan's economy has seen slower growth in tariff-exposed sectors and added financial pressure on households already managing rising living costs.

Gas Prices Spike to Highest Level Since 2023

The situation has been exacerbated by the ongoing war in Iran, which has disrupted global oil markets and shut down the Strait of Hormuz. This shipping corridor, formerly one of the biggest global shipping routes for fuel that processed up to 21 million barrels of oil per day, has been a critical factor in maintaining stable fuel supplies.

As a result, gas prices have risen in Michigan to $3.89 per gallon, up from $2.99 per gallon. This represents a spike of approximately 30 percent and marks the highest prices since the summer of 2023. Michigan drivers are paying 97 cents per gallon more than this time last month and 82 cents per gallon more than this time last year.

What This Means for West Michigan Residents

For families in West Michigan, these developments have immediate and practical implications. The energy emergency order provides relief to approximately five million Michiganders by making cheaper fuel blends available. Motorists in Grand Rapids, Kalamazoo, Battle Creek, Holland, Muskegon, and other West Michigan communities can now access gasoline that costs 10 to 20 cents less per gallon.

The tariff directive highlights ongoing economic challenges that affect West Michigan businesses and workers. The manufacturing sector, which has been a backbone of West Michigan's economy, faces continued pressure as tariffs raise production costs and restrict market access.

Automotive companies in West Michigan, including facilities in Grand Rapids and other areas, have been directly impacted. The $35 billion cost to U.S. automakers last year translates into reduced investment, slower hiring, and potentially higher prices for consumers.

Looking Ahead

Governor Whitmer's executive actions demonstrate her commitment to finding relief for Michigan families while she advocates for broader policy changes at the federal level. She has urged the legislature to pass a budget that continues tax cuts for working families and retirees, delivers property tax relief for seniors, and gives Michigan families a sales tax holiday on school supplies.

Anyone who suspects problems at the pump is encouraged to call MDARD's 24-hour hotline for reporting complaints, 1-800-MDA-FUEL (1-800-632-3835). For additional information on MDARD's Motor Fuel Quality Program, please visit MDARD's Gasoline Information page.

The federal government has assured that they have set aside $166 billion in unconstitutional tariffs, but they have yet to establish a process for returning those funds. Any process must be accessible to all importers who have paid tariffs, including small businesses and individuals who may not have access to expensive counsel to access refunds they are owed.

The situation remains fluid as Michigan navigates the economic impacts of federal policy decisions. Governor Whitmer continues to direct state agencies to monitor and report on how tariffs are affecting Michigan industries, ensuring that the state can respond effectively to ongoing challenges.