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Equipment manufacturer says tariffs, trade could impact ag economy

A global equipment manufacturer says the Trump administration’s tariff and trade policy will likely have an impact on the ag economy

Eric Raby, senior vice president for the Americas with CLAAS, says right now there’s more questions than answers. “We have to make sure that we’re paying attention to how we’re supporting the farmers, how we’re supporting their dealers and how we’re able to carry on supporting them from our business standpoint on parts and service and research and development and all those.”

He tells Brownfield recently announced tariffs could increase input costs for farmers, which may impact demand for equipment. “A lot of those things that are coming from abroad are now introducing another level of pressure on farm income. I think farmers right now are taking a really hard, long look at what are the conditions, what are the things that I have to do, what are the things that I might want to postpone.”

But, Raby says, there could be some opportunities to upgrade equipment. “We did see some significant slowdown in the industry last year that tickled over into this year. There’s some new inventory out there that has some attractive pricing on it.”

He says the company has seen an increase in demand in equipment from Canadian farmers and is looking to grow its market presence in South America.