Swenson: USMCA "substantially underwhelming”

December 11, 2019
News

David SwensonDavid Swenson, associate scientist, was quoted in a Dec. 10 Quad-City Times story, "Ag community hopeful USMCA trade deal developments lead to bill signing."

Not so optimistic about the proposed deal was David Swenson, associate scientist, who said the ratification of the USMCA “is substantially underwhelming.”

He said many of the differences between NAFTA and USMCA are related to the domestic manufacturing of automobiles. When asked how USMCA could affect Deere & Co., he said it is not really an issue.

“That sector is more vulnerable to just a simply broader slowdown for the economy that’s been going on,” Swenson said. “The big issues of manufacturing is the lack of industry, business in general, to invest in new structures and new equipment. A lot of that, I believe, is a function of trade uncertainty with China, not NAFTA.” He said the continuing trade war with China “is slowing growth, and compounding uncertainty is influencing the level of capital and business investment.”


Swenson also talked with

  • Elizabeth Weise, USA Today, for a story of the importance of wind energy investments to rural economies and especially to the farm economy and
  • Tyler Jett, Des Moines Register, about how Iowa’s economy has performed this decade; and Robert Connelly, Quad City Times and Dispatch, about the importance of the USMCA for the Iowa economy.
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