NAFTA

Becca Schimmel

The United States and Mexico have reached a preliminary deal to renegotiate the North American Free Trade Agreement. The emerging agreement has big implications for agriculture and automakers in the Ohio Valley.  

President Trump has played up his tentative agreement with Mexico’s president, but NAFTA partner Canada has only recently been included in the weeks of negotiations. At an automotive conference in Lexington, Kentucky earlier this month Auto industry representatives stressed the importance of trade with Canada and Mexico.


Nick Youngson CC BY-SA 3.0 Alpha Stock Images

Automotive manufacturing leaders met in Kentucky to discuss how changes in U.S. trade policy under President Trump affect the industry and its growing presence in the Ohio Valley.

Industry leaders gathered for the annual AutoVision conference and many don’t like what they see coming.

NAFTA 2.0 negotiations are ongoing, companies are paying tariffs for some steel and aluminum imports and domestic metals prices are increasing as demand goes up. Add to that the prospect of auto import tariffs President Trump is exploring and executives like John-Mark Hack see trouble ahead. 


Nicole Erwin

LaRue County, Kentucky, dairy farmer Gary Rock sits in his milking parlor, overlooking what is left of his 95 cow operation.

“Three hundred years of history is something that a lot of people in our country cannot even talk about,” Rock said.

That’s how long the farm has been in his family. While the land has turned out tobacco, soybeans and other crops over the years, since 1980 dairy has nourished the family in and out of tragedy.

“In 2013, we had an F2 tornado that totally destroyed all the facilities here except the one we are sitting in, which is the milk parlor itself,” Rock said. If that had been lost, he said, he would not have rebuilt.


Nicole Erwin

China buys more than half of the soybeans grown in the Ohio Valley. So China’s threat this week to place a 25 percent tariff on U.S. soy means farmers would be caught in the crosshairs of a trade war.

Even though tariffs haven’t taken effect, markets are already showing signs that commodities traders are growing nervous. The tariff anxiety comes as U.S. Agriculture Secretary Sonny Perdue visits the region this week.