Richmond Fed President tours Shore

Pictured: Richmond Federal Reserve President Tom Barkin with ESVA Chamber and Eastern Shore Tourism Commission Executive Director Robert Sabbatini.

The President of the Richmond brand of the Federal Reserve Bank spent Thursday touring the Eastern Shore.

Tom Barkin spent the morning in Cape Charles for a discussion with leaders on growth in lower Northampton before meeting with business and industry leaders at the Eastern Shore of Virginia Chamber of Commerce for a wide-ranging roundtable on tariffs, prices, labor and housing.

Barkin, who has led the Federal Reserve Bank of Richmond since 2018, said tariffs are “a big deal but not everything,” noting only a slice of the economy faces them directly and that companies are absorbing costs, shifting suppliers, or using promotions rather than broad price hikes. He described consumers as “trading down” and seeking value, with leisure travel soft for middle-income households while higher-income spending remains steadier.

Local participants from healthcare, poultry, banking, tourism, real estate and small manufacturing highlighted persistent workforce shortages, high turnover since the pandemic, and housing costs that outpace regional wages. Several cited infrastructure hurdles (well/septic, limited sewer capacity) that complicate workforce housing, and voiced concern over national deficits’ effect on long-term interest and mortgage rates. Tourism leaders reported a slower spring, last-minute bookings, and a surge in late summer.

Following his discussion, he proceeded to the Eastern Shore Community College for an education and workforce roundtable, then a Poultry Industry Roundtable before concluding the day with an Aerospace Industry Roundtable and a tour of the Wallops Flight Facility and Chincoteague Island.