DES MOINES, Iowa — President Trump’s tariffs are scheduled to take effect on February 1, and Iowa business owners and farmers are preparing for possible impacts.

Canada and Mexico are huge suppliers for vehicles and car parts, and with Canada stating plans to retaliate, auto and repair shops will likely be hit hard.

“If we tariff these guys, of course, they’re going to retaliate and they’re going to be able to raise their prices,” said Moutassim Meri, Mo’s Auto Shop Owner. “That’s ultimately going to come down to the consumer, and the customer has to pay more at the end to the bottom line.”

Mo’s is expecting to see conditions similar to the impacts of the COVID-19 pandemic, with availability being low and pricing high. He is already looking for ways to negate the effects.

“We try to do online ordering, sometimes that gives a break to the customer, but unfortunately, it’s time consuming and it takes time before you get the parts,” said Meri. “Sometimes the warranty, the parts are going to be even harder because you have to send it back.”

These work around methods also cause problems because they take longer, and in the car repair business, that’s a major issue.

“First thing the customer comes in gives me the key, they ask, when can they have the car back? So, it is extreme because they depend on the vehicles going back and forth to work and stuff like that,” said Meri.

Meri is concerned that in an already tough business, the changes will put pressure on his small business and customers.

“I think being an auto mechanic, industry is actually one of the hardest things you can do because the tools and equipment, the technology and all that,” said Meri. “It is actually extremely hard, especially when the consumer has to pay for extra labor and extra parts.”

While small business owners worry about their businesses, Iowa farmers worry about their crops.

The president of the Iowa Farmers Union, Aaron Lehman, says that the leading industry in Iowa will face significant challenges under these tariffs. Lehman points out that farming profits are already low.

“Our commodity prices are already below the cost of production and most of our farmers did not end up making money this past year because of low commodity prices,” said Lehman.

With the countries already declaring they will retaliate; Lehman believes Iowa and its farmers will feel it first.

“Tariffs usually mean that the other countries will retaliate and the first place they usually retaliate is on farm products,” said Lehman. “A lot of them are grown here in Iowa, especially corn and soybeans kind of thing.”

Lehman says that while the expected responding export tariffs are going to hit hard, the commonly imported items are also an issue.

“It also means the things that farmers have to buy sometimes are from imported or imported from other countries and the prices of those things will be higher,” said Lehman. “So, I think farmers are going to feel it both on both sides.”

The Iowa Farmers Union has been reaching out to politicians about the possible effects of these tariffs on Iowa’s farmers.

“Our farmers have been working hard to try to educate policy leaders about the impact that this will make for our farmers and for our rural communities,” said Lehman. “We’re trying very hard to convince our policy leaders that while tariffs are a tool that can be used, sometimes they have, we have to be very careful.”

Lehman says that the last time tariffs affected farmers, relief was sent, but it wasn’t always sent to the small farmers that needed it.

“They only went to the very largest of farmers here in Iowa and small and medium sized farmers didn’t get their share and some farmers didn’t get any trade relief payments at all,” said Lehman. “If farmers are impacted, we want to make sure that there is a fair relief package so that family size farmers who are impacted by this can get some relief.”

While it’s not known how quickly or to what extent the tariffs will impact pricing and availability for businesses and farmers in Iowa, small businesses and farmers are both prepared to experience financial and product deficits.