Advocacy Alert: Latest trade and tariff developments and impact

UPDATE Feb. 11, 2025: Following President Trump’s announcement that he is imposing a 25% tariff on all steel and aluminum imports, the Irrigation Association issued the following statement:

“Steel and aluminum are essential materials for the irrigation industry and the broader agricultural supply chain. At a time of heightened uncertainty in the farm economy, these tariffs threaten to disrupt supply chains, drive up costs for farmers and weaken the network of American manufacturers and dealers who support growers,” said Natasha Rankin, CEO of the Irrigation Association. “The irrigation industry plays a vital role in helping farmers increase productivity, safeguard our food supply and remain competitive in the global marketplace. Imposing tariffs on these critical inputs, alongside the threat of additional tariffs on key trading partners, creates uncertainty in key economic sectors and jeopardizes American farmers’ ability to feed, fuel and clothe the world.”

“We urge the administration and policymakers to work collaboratively with industry leaders to explore solutions that protect American farms and jobs and maintain supply chain stability while addressing broader trade and security concerns,” continued Rankin. “The Irrigation Association remains committed to engaging with the administration and Congress to ensure policies support the long-term success of American farmers and our economy.”

The irrigation industry is a key driver of both agricultural productivity and the U.S. economy, with more than 54% of the total value of U.S. crop sales dependent upon irrigation, according to the 2022 Irrigation and Water Management Survey conducted by the USDA’s National Agricultural Statistics Service. Moreover, the irrigation industry contributes over $23.3 billion annually to the U.S. economy and supports more than 344,000 jobs, according to the Irrigation Association’s 2020 Economic Impact Study.

As of Feb. 3 at 5:30 p.m. ET:

• The Trump administration is pausing implementation of the tariffs with Mexico and Canada for one month following agreements on border security and anti-trafficking measures.
• We are continuing to monitor the most recent developments with Canada.
• China has pledged to challenge the tariffs through the World Trade Organization.

Impact analysis:

• Tariffs and retaliatory actions could broadly impact the irrigation industry, including cost increases, supply chain disruptions and shifts in market competition.
• Key sectors for irrigation companies, such as agriculture and homebuilders, are likely to be particularly impacted by retaliatory measures.

What we’re doing:

• The IA is committed to minimizing barriers to trade and ensuring international trade policy recognizes the realities of the irrigation industry’s global supply chain.
• We are meeting with agency officials and Hill contacts to gain insight into potential further action and to advocate on behalf of the irrigation industry’s interests.

What you can do:

If your business is experiencing disruptions, uncertainty or supply chain concerns, please share those impacts with lukereynolds@irrigation.org to help our policy team advocate effectively on behalf of the industry.

What’s next:

We will provide updates as new details emerge. Check our Irrigation Advocacy Insights for the latest information.