Iowa farmers feeling the squeeze from every direction
Iowa's farmers are getting hit from three sides at once because of Canadian tariffs, record-high diesel fuel prices driven by the war in Iran, and all around rising costs are compounding into a crisis that is already eating into farm income heading into this fall's harvest.
Trade war with Iowa’s largest trading partner
After trade talks collapsed in late August, the Trump administration placed 50% tariffs on roughly $20 billion worth of Canadian goods, and Canada placed equivalent tariffs on American goods. Iowa is hit particularly hard by this trade war, with Canada as its largest trading partner. Reps. Nunn and Miller-Meeks have voted in support of tariffs multiple times.
Increased costs on machinery and parts made with Canadian steel and other products mean that farmers’ margins are increasingly thin. High tariffs on the products being sold from Iowa farms lead to less expected income through harvest season.
Record diesel prices driven by the Iran war
Because of the war in Iran, diesel costs are over $2 a gallon more than they were last year in Iowa. Iowa farmers have already paid over $150 million more than last year on diesel during planting season, and prices are continuing to rise as we enter harvest season. As of September 10, diesel is $5.72 a gallon in Iowa, the highest it has ever been. Nunn and Miller-Meeks voted in support of continuing the war in May.
Rising costs around every corner
Rural communities across Iowa are seeing the price of almost everything go up. From groceries and household goods to energy and gas. Nationwide since Jan. 2025 families have spent over $3,500 more on everyday essentials.
Mary and Jim are row crop farmers in rural Keokuk County. They say they have felt the sting from tariffs and rising costs all year.
“Everything has been more expensive, not just for the farm but for putting food on the table and everyday needs,” Mary said. “Farmers like us are seeing several hits to our bottom line. All of the costs of our inputs have risen dramatically. We are paying the price for these government policies while we were already operating on thin or even negative margins. Young farmers or those considering getting into the business are being pushed out and that hurts the communities around those would-be farms.”