Ames, Iowa – Iowa State University recently completed an economic research study of the effects of the on-going tariffs placed on American trade.
The impacts of the trade tariffs certainly have hurt agriculture, but Iowa State University Agricultural Economist, Chad Hart says the dispute with China probably cost between one and two billion dollars in our overall state economy.
Hart says Iowa’s soybean and pork industries suffered the largest hits, but he adds other commodities, such as the beef industry and the corn industry also suffered when the entire trade industry slowed down. Hart says prices are still lower as a result of the trade tariffs. However, he says many commodity prices have started to rebound slightly since when the trade tariffs were initially announced.
Hart says soybean prices had dropped nearly 20 percent — but they’re now down about 12 to 14 percent.
The agricultural economist says both the U-S and China are still seeing economic growth — although it has slowed down considerably.
He says what we need to watch is how the trade tariffs are affecting other nations.
Hart says he expects to see commodity prices continue to show slight improvement through the spring months.