Nick Begich defended tariffs and outsourced jobs

Alaska Rep. Nick Begich says he wants to boost domestic manufacturing even though he made millions running a company that outsourced jobs to India.

Begich is part of a political dynasty. He has multiple relatives who have held office in the state as both Republicans and Democrats. He was the CEO of FarShore, an information technology company, before being elected to Congress in 2024.

Begich has repeatedly praised President Donald Trump’s tariff policy, asserting that it would be a boon for American businesses and workers. A tariff is essentially a tax on imported goods that is paid by the American importer. Trump has imposed sweeping tariffs on dozens of countries since returning to the White House.

“My priority is ensuring that Alaska’s fishermen, energy producers, and manufacturers are not disadvantaged in international trade negotiations,” Begich told the Alaska Beacon after voting in February to preserve Trump’s tariffs on Canada. “Like any tool in trade policy, tariffs are most effective when used strategically to strengthen domestic industries and secure a level playing field for our producers.”

Begich previously told Alaska Public Media that tariffs were needed to restore American manufacturing. He wrote on X that Trump’s policy would lead to a “one-time bump in inflation” before giving way to “lower inflation and unparalleled domestic investment.”

None of these predictions came to fruition. In many cases, the import fee was passed on to consumers in the form of higher prices, driving up costs on groceries and other essentials. The nonpartisan Tax Foundation says the average American household spent an extra $1,000 last year as a result.

The Alaska seafood industry was hit especially hard. Fish caught in Alaska are often exported to China, where they are deboned and packaged, and then re-imported to the United States for sale. This has driven up the cost and lessened demand for wild Alaska salmon, one of the state’s biggest economic drivers, but the lost revenue is still lower than the cost of doing the deboning and packaging domestically.

Despite these outcomes, Begich voted seven times in Congress to block bipartisan efforts to repeal the tariffs.

Begich’s claim of prioritizing domestic manufacturing is further undermined by his own business practices. Even though FarShore is headquartered in Anchorage, the Alaska Dispatch News reported in 2022 that nearly all of the company’s 150 employees were based in India or Croatia.

Information technology companies like FarShore frequently offshore jobs to cut labor costs and maximize profits. The company even promoted the practice in a 2019 blog post, writing that “outsourcing is a great solution for startups who don’t have the time or resources to do everything themselves.”

Begich made a similar remark when confronted about his offshoring practices while first running for Congress in 2022.

“We have to recognize we live in a global world, right?” he said. “I think we do well to remember that here in Alaska we’re part of a global community.”

Begich is running for a second term this year. His opponent will be chosen in an Aug. 18 primary.