DES MOINES - Iowa Governor Kim Reynolds spent the day bragging to USDA Secretary Brooke Rollins about Iowa’s agricultural industry, even as farmers and biofuel producers face an uncertain future with looming tariffs and a downturn in the ag economy that’s already resulted in hundreds of layoffs in Iowa.

A report released this week by the Federal government’s Bureau of Economic Analysis paints a bleak picture of Iowa’s economy. In real, inflation-adjusted terms, Iowa’s economy contracted 0.5% in 2024, 49th in the country. North Dakota was the only other state to have negative growth.

Earlier this year, the Iowa Farm Bureau noted that declines in the ripples from declines in farm income are projected to cut up to 11,400 jobs and slash $1.5 billion from Iowa’s economy. It’s a sign that things are going to get worse.

“Under Kim Reynolds, Iowans are facing rising prices on everything from groceries to housing to child care. Now, after a decade of failed policies and giveaways to political insiders in Des Moines, Iowa’s economy is shrinking,” said Iowa Democratic Party Chair Rita Hart. “Iowans deserve independent leaders who aren’t afraid to tell the truth, no matter who’s in the White House.’’