Whether they are farmers, factory workers, or small business owners, grassroots Iowans understand that Trump is not only standing up to China but also trying to rebalance trade and prioritize American interests.
John Deere, founded in 1837, is an iconic American brand, particularly in Iowa, where its machinery is ubiquitous in fields, yards, and construction sites. The brand’s leaping deer logo is a familiar symbol of rural America. However, John Deere is also a major corporation, and in anticipation of a potential downturn in the agricultural economy, the company has recently announced layoffs. These layoffs will affect many Iowa families who rely on these jobs for their livelihoods. While layoffs in the face of economic challenges are unfortunate but understandable, they are especially troubling in light of Deere’s plans to build a manufacturing facility in Mexico, effectively shifting jobs from Iowa south of the border.
Adding to the frustration, John Deere is a significant beneficiary of Iowa’s Research and Activities Tax Credit. In 2023, Deere was the state’s largest recipient of the tax credit, receiving over $19 million from Iowa taxpayers. This means Iowans are essentially subsidizing the outsourcing of their own jobs at a time when many are struggling with high inflation and economic uncertainty.
Outsourcing is not the only issue facing Iowa. Mexico has been flooding the U.S. market with steel, violating an agreement negotiated between the two nations. While President Trump had imposed a 25 percent tariff on steel, this was lifted for Mexico, which continues to export steel to the U.S. This surge in steel imports is estimated to impact over 1 million American jobs, including many in Iowa.
These developments contribute to the growing frustration among Iowans and Americans alike, who are increasingly embracing policies rooted in economic nationalism or economic patriotism. During an October campaign stop in Cedar Rapids ahead of the 2024 Republican presidential caucus, former President Donald Trump promised a “revival of economic nationalism.” His speech included proposals for protectionist trade policies, such as a Reciprocal Trade Act and a strategic tariff of 10 to 20 percent on foreign goods. He also pledged to remove China’s Most Favored Nation (MFN) status, emphasizing that Iowa would be “at the center of the action.”
Trump’s economic nationalism is not new to Iowa voters. During the 2016 and 2020 campaigns, he championed protectionist policies, including tariffs on steel and aluminum and the renegotiation of trade agreements like NAFTA, which was replaced by the United States-Mexico-Canada Agreement (USMCA). His administration was the first to confront China over trade abuses, which led to retaliation against American agriculture, directly impacting Iowa farmers.
Despite the trade war with China, Trump retained significant support among Iowa’s agricultural community. Before the 2024 caucus, a survey of 605 farmers showed that 39 percent supported Trump, compared to 19 percent for Florida Governor Ron DeSantis and 8 percent for President Joe Biden. Trump’s overwhelming victory in the Iowa caucus underscored his continued appeal in a state where free trade is generally considered vital to the economy.
Agriculture is indeed crucial for Iowa, a state known for its corn, soybeans, hogs, and other commodities. Iowa is the second-largest agricultural exporter in the nation, with soybeans, corn, and pork being the primary exports. Manufacturing is also a significant industry, accounting for 18.2 percent of Iowa’s GDP, with many manufacturers connected to agriculture. In 2023, Iowa exported $18.4 billion worth of goods, representing 7.4 percent of the state GDP, with top export markets including Canada, Mexico, China, Brazil, and Japan. These exports support jobs across various industries, from agriculture to manufacturing to small businesses.
Given the importance of trade to Iowa’s economy, why do so many Iowans support a candidate who advocates for economic nationalism? The answer lies in their patriotism and their understanding of the broader national implications of trade policy, particularly concerning China.
Trump is not the first candidate to campaign in Iowa with a critical stance on free trade. Past Republican contenders like Patrick J. Buchanan, former Representative Duncan Hunter, and former Senator Rick Santorum, as well as Democrats like former Representative Richard Gephardt and Senator Bernie Sanders, have also criticized free trade. However, Trump’s unique personality and his focus on issues like immigration, combined with his America First and Make America Great Again themes, resonated with many Iowans, especially those who felt forgotten—farmers and blue-collar workers in Iowa’s manufacturing centers.
Trump’s message on trade, emphasizing the loss of manufacturing jobs and the need to bring them back, struck a chord with Iowans. He argued that past trade agreements had failed the nation and that it was time to put American interests first.
While large corporations and major agribusinesses often defend trade agreements, not all Iowans support free trade. Small family farmers and ranchers, in particular, have opposed agreements like NAFTA, arguing that they benefit only corporate farms and multinational companies. Over the years, small family farms have disappeared, replaced by larger corporate farms focused on export crops like corn and soybeans, as well as large-scale hog facilities.
As a result, the U.S. is increasingly importing food, even as it continues to produce cereals and grains. Michael Stumo, CEO of the Coalition for a Prosperous America, argues that misguided trade policies are eroding American farms just as they have dismantled many of the nation’s factories. This concern extends to food processing, which is becoming more complex and globalized.
Many ranchers are now pushing for stricter Country of Origin Labeling (COOL) laws, which would require beef and pork to be labeled with the country of origin. This would mean that all beef and pork would have to be identified as to where they were born, raised, and processed. Currently, a package of ground beef could be stamped “made in the U.S.A,” even if it was only packaged in the United States.
COOL rules had once applied but were repealed by Congress due to conflicts with WTO global trade rules. A vague COOL requirement is now law, but it only covers certain commodities. Small ranchers have faced challenges, even during the Trump administration, in their battle against larger firms that oppose direct labeling.
This issue is important to many Iowans. CNN’s “All Over the Map Project,” which tracks the 2024 campaign through the eyes of voters in key battlegrounds, recently interviewed Iowans to gauge Trump’s influence within the Republican Party. Despite some shifts in support, many Iowans remain loyal to Trump, citing his trade policies as beneficial.
For example, Iowa rancher Shanen Ebersole, who initially supported former South Carolina Governor Nikki Haley, has now thrown her support behind Trump, primarily due to her opposition to President Joe Biden’s policies. Ebersole, like many Iowans, believes in putting America first and credits Trump’s trade policies for helping her ranch.
It’s not just small farmers and ranchers who have concerns about free trade; Iowans working in factories are also affected by trade agreements. Over the years, many manufacturers in Iowa have either left or closed, leading to substantial economic impacts on their communities, particularly in rural areas. Trade agreements like NAFTA, the WTO, and China’s MFN status have resulted in job losses and outsourcing.
In the mid-1990s, the Ertl Toy Company, based in Dyersville, Iowa, outsourced some manufacturing to Mexico after being sold. Maytag, which had produced washing machines in Newton, Iowa, for nearly 100 years, was bought by Whirlpool and the plant was shut down in 2007, with jobs moved to Mexico. The Scheaffer Pen Corporation, based in Lee County, Iowa, also closed in 2008, with production outsourced.
These examples highlight the loss of manufacturing jobs due to free trade agreements. The Coalition for a Prosperous America estimates that the U.S. has lost around 4 million jobs to China, with Iowa losing over 33,000 jobs, most of them in manufacturing.
China’s impact even reaches small businesses. In 2022, Kelley Plastics, based in Belle Plaine, Iowa, learned that one of their largest customers, Dick’s Sporting Goods, would no longer purchase their product, opting instead for a similar product made in China. This decision directly affects Kelley Plastics and their community.
Many Iowans understand that Trump is addressing a larger problem in trade. He was the first to confront both the trade deficit and the threat posed by China. For decades, the U.S. has run massive trade deficits, including a large deficit with China, which has exploited the U.S. through intellectual property theft, currency manipulation, and industrial subsidies.
Iowans recognize China as a threat and support balanced trade to protect national interests. For example, 76 percent of Iowans surveyed supported new laws to limit foreign ownership of farmland, reflecting concerns about both land and food processing.
Critics argue that Trump started a trade war with China, but in reality, the U.S. was already in a trade war. Trump’s tariffs on Chinese imports were a response to China’s trade abuses and an attempt to negotiate a fairer agreement. While China retaliated, targeting American agriculture and impacting Iowa farmers, Trump provided $28 billion in aid to cushion the blow.
Reactions to Trump’s trade policy within Iowa have been mixed. While the state’s Republican Congressional delegation has been lukewarm toward his protectionism, grassroots Iowans tend to be more supportive or at least willing to give Trump the benefit of the doubt. This support complicates the position of Iowa’s Congressional delegation, which would typically back free market policies.
Ultimately, grassroots Iowans understand that Trump is not only standing up to China but also trying to rebalance trade and prioritize American interests. For many Iowans, whether they are farmers, factory workers, or small business owners, the principle of America First resonates strongly.
Iowans are not ideologues when it comes to trade. As Pat Buchanan once described, they are “conservatives of the heart,” concerned about the loss of jobs due to free trade agreements. Their support for Trump’s policies is rooted in economic patriotism. They recognize that the U.S. has become too dependent on foreign nations and that policymakers have allowed this decline for too long, resulting in the loss of manufacturing, the erosion of the middle class, and the weakening of national sovereignty.
“Conservatism is not about a set of formulas or ideological abstractions. The purpose of economic and political life is the survival and enhancement of a particular people and its culture,” wrote Darrell Dow in The American Mind. Iowans understand this, and it is reflected in their political culture.
Protectionism does not mean opposition to trade. The objective of protectionism or economic nationalism is to prioritize national interests. Trade agreements should benefit American manufacturers, workers, and farmers. This was the policy of the Republican Party from President Abraham Lincoln through President Herbert Hoover.
“Americans are producers first, consumers second. Good jobs, high wages, and strong families should be the objective of trade policy. Productive American businesses can make profits under rules that prioritize our workers, farmers, and communities,” wrote Ambassador Robert Lighthizer, former United States Trade Representative, in describing the Trump administration’s trade policy. This explains the economic patriotism in America’s heartland.
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