Key Point: “President Donald Trump has threatened to impose a 25% tariff on all goods imported into the U.S. from Canada and Mexico in a sweeping shift in North American trade policy that would have significant implications for Idaho’s economy.”

Idaho Statesman: Canada, Mexico are 2 of Idaho’s top 3 trading partners. What tariffs could do to Idaho

By Angela Palmero

• Canada is the largest market for Idaho goods, and Mexico is No. 3, after Taiwan. The state shipped $2.9 billion in domestic agricultural exports abroad in 2022, according to the latest data from the U.S. Department of Agriculture.

• Idaho Sen. Jim Risch, chairman of the U.S. Senate Foreign Relations Committee, met with Mélanie Joly, Canada’s foreign minister, and other Republican senators in Washington, D.C. on Jan. 16. Joly told reporters the next day that the tariffs would trigger the largest trade war between the U.S. and Canada in decades, according to the Financial Post.

• A spokesperson for Risch declined to comment or answer questions Wednesday about whether he supports the tariffs. The rest of Idaho’s congressional delegation — Sen. Mike Crapo, Rep. Russ Fulcher and Rep. Mike Simpson — did not respond to phone calls and emails requesting comment.

• The Office of the U.S. Trade Representative said the state’s major metropolitan areas benefit from exporting products to other countries. In 2022, Coeur d’Alene, Twin Falls, Idaho Falls, Pocatello and Lewiston each exported hundreds of millions of dollars’ worth of goods.

• Under Trump’s proposed trade policies, the state’s agricultural sector could face major disruptions. Industry leaders are paying attention.

• Rick Naerebout, CEO of the Idaho Dairymen’s Association, told the Statesman that the U.S. also ships large quantities of shelf-stable dairy products like milk proteins and cheese to Mexico. Food and agriculture make up the vast majority of goods Idaho sends to Mexico, according to data from Idaho Commerce.

• “It’s definitely something we’re watching,” Naerebout said by phone. “Mexico has historically been our biggest trade partner for dairy products. If we lose that demand due to tariffs, it’s going to affect our pricing.”

• He said the loss of demand would have “negative market consequences,” leading to depressed prices and an oversupply of dairy products in the U.S.