When Trump Punishes Canada, Iowa Pays the Price
Canada is Iowa’s #1 trading partner, and our ag economies are deeply interconnected. They have both been upended by Trump tariffs, and the pain just got worse.
When he saw a 30-second TV ad that explained the truth about tariffs (as told by Ronald Reagan), Donald Trump did not take it well.
And rather than having positive thoughts about constructive ways he could call back unnecessary tariffs to save the U.S. and Iowa’s economies, he blew a fuse.
And apparently without thinking about potential negative effects of his actions, he stopped economic negotiations with Canada. But he did not stop there. Trump tacked on another 10 percent tariff to already existing Canada trade tariffs.
Thus, though he may never understand this, adding more taxes to American consumers and businesses who trade with Canada (U.S. international tariffs are not paid by other countries). And the hurt to Iowa’s ag and construction industries increased from there.
When Canadian tariffs are raised
| Sector | What Goes Up | Who Pays |
| Farming | Fertilizer cost (especially Canadian potash) | Iowa farmers |
| Beef & Pork | Feed costs + processing costs | Ranchers + consumers |
| Construction | Lumber + building materials | Contractors + homebuyers |
| Groceries | Meat, dairy, produce | Every household in Iowa |
This isn’t theory. It is already happening. Ground beef prices are up 50% since COVID. Fertilizer prices spiked after earlier Canadian tariffs. And soybean markets shrank after Trump’s first trade war closed China.
And now? He wants to import beef from Argentina to tank the U.S. beef market after telling U.S. ranchers he was helping them.
It’s no wonder that ranchers called it a betrayal (National Farmers Union) and publicly rebuked him (the Cattlemen’s Association). Nor is it a surprise that soybean producers are bracing for another hit.
The takeaway is simple
Mr. President, you cannot be “pro-farmer” and keep raising the cost of farming. You cannot be “America First” while importing foreign beef to undercut U.S. ranchers.
And you cannot call yourself a strong leader if an honest 30-second television commercial can upset you so violently that you enact, on a kneejerk reaction, additional harmful tariffs that negatively affect Iowans and Iowa’s economy.
