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A 100% tariff is being proposed on used Chinese cooking oil.
It's used in many states to produce biodiesel fuel, but not as much in Nebraska or Iowa, two of the top soybean growing states in the nation.
U.S. Senator Chuck Grassley of Iowa, a member of the Senate Agriculture Committee, says "I don't think Iowa biodiesel plants will be affected at all, because we're the number two soybean growing state in the nation. There's plenty of soybeans to be used to make biodiesel in Iowa."
Nebraska ranks fifth in the nation for soybean production.
President Trump says he will put the 100% tariff on Chinese cooking oil after China put new restrictions on rare earth exports on the U.S.
Grassley says other states do depend on Chinese cooking oil to produce biodiesel, but will be more likely to buy soybean oil from Iowa if Chinese imports drop.