The recent announcement that the United States would be implementing higher tariffs on goods imported from China has created concerns among Iowans.
The threat of a trade war is something many in Iowa are fearful of, particularly because China is the number one importer of both soybeans and pork. In the immediate aftermath of the tariff announcement, the prices of soybeans fell, and it’s unclear if that drop is only a knee-jerk reaction or a bad sign for things to come. State Representative Ralph Watts (R – District 19) says he’s unsure what the President’s ultimate aim is with the tariffs, but he does believe there will be an immediate reaction should China impose additional tariffs on commodities imported from Iowa.
Watts also points out that former Iowa Governor Terry Branstad is the Ambassador to China, and he believes Branstad will be doing everything he can to protect his home state. In spite of that, Watts and many others in the Iowa Legislature are uneasy about the potential economic impact of the tariffs. “Where it will eventually go, I don’t think anybody knows, but it does have a chance to impact Iowa. And as everybody understands, the price of commodities and corn and soybeans has a great impact on what we get in revenue in the state that we deal with. So I think that’s an open question that everybody’s concerned about and looking at. Because it certainly will, or it could, impact all of us in the state.”
To hear more from Watts, listen to Monday’s Perry Fareway Let’s Talk Dallas County program at RaccoonValleyRadio.com.