QUINCY, IL — A trade war between the United States and China could increase taxes on goods if leaders aren't able to compromise soon, according to U.S. Congressman Darin LaHood.
Both the Chinese and U.S. administrations have a March 1 deadline to find a compromise, or tariffs on goods will increase to 25 percent.
Congressman LaHood visited Quincy Thursday to discuss the trade war, the Farm Bill and infrastructure in his district.
He said the biggest issue he's most concerned about is the trade war.
"The prices being where they are at, they are down, and that is directly related to the trade war with China,” LaHood said. “We have to resolve the trade war with China. The tariffs that have been put in place, need to come off because of the retaliation that it has put on our soybeans and corn. I am optimistic that we can resolve those trade negotiations in the next 60 days."
According to the U.S. Department of Agriculture, soybean exports were down 98 percent last year.
LaHood says the new United States Mexico- Canada agreement is second on his priority list and something Congress needs to pass quickly.
According to Congressman LaHood, agriculture is still Illinois' number one industry.
During the republican's visit to the Gem City Thursday, he said he's a strong advocate for the Free Trade Agreement between the USMCA.
"About forty or 50 percent of the corn and soybeans grown here in Adams County go somewhere else around the world, and so we have to have markets and customers,” LaHood said.
Congress must still pass the new USMCA Agreement.
LaHood said he's confident both the new USMCA will be passed and the trade ward with China could soon end.