The Des Moines Register’s Donnelle Eller reported at the end of March — before the Trump administration’s new round of reciprocal tariffs were announced — that “Trump’s trade war during his first term hit U.S. farmers hard, forcing the USDA to render $23 billion in assistance to crop, livestock and fruit and vegetable growers. Any new tariff retaliation will be inflicted as farmers are reeling from a downturn caused by the combined effects of low prices and high costs and interest rates.”
“Rollins said she couldn’t specify how much money the USDA might need to send to ‘make farmers whole,‘” Eller reported. “But ‘if necessary, we are ensuring that we are set up, we have the infrastructure ready’ to send assistance to farmers, she said, adding that relief will depend ‘on what the president announces.‘”
“‘We’re ready to go any which way,’ she said, adding ‘we’ve got the same team that built out the first program’ under then-Agriculture Secretary Sonny Perdue, who served during Trump’s first term,” Eller reported. “‘We don’t have quite the funds we had back then, because under the last administration, a lot of those were spent,’ Rollins said at a stop in Waukee. ‘But we’re working on that right now, and as soon as we fully understand the consequences, positive and otherwise of these new negotiations … we’ll have more announcements.'”
Timing of Relief Package would be Months Away
The Red River Farm Network reported that “after a White House briefing, Agriculture Secretary Brooke Rollins said there may be short-term uncertainty for U.S. farmers and ranchers, but they will see long-term benefits from an America First agenda. Later during an interview on FOX, Rollins was asked about the possibility of trade-related assistance.”
“‘The last time, under Secretary (Sonny) Perdue, it was decided maybe four to six months later that in fact some of those farmers were hurt in the short term so we are looking at that,’ said Rollins,” according to the Red River Farm Network’s reporting. “‘We will be prepared for it when it is time, but listen, that’s months away. Right now, we’re letting the President negotiate on behalf of the American people and believe that we will see in very short order some real positive change.'”
Retaliation Already Hitting U.S. Ag Products
AgWeb’s Tyne Morgan reported that “U.S. soybean exports now face a 60% tariff into China, and that figure could likely climb if the tit for tat on tariffs continues between the two countries. Even as the trade war heats up, and soybeans could be on the front lines once again, the reality is U.S. farmers aren’t shipping as many soybeans to China as they did in 2018.”
“As the market watches the tariff spat unfold, the 60% tariff on U.S. soybeans is already twice as high as what it was during the 2018 trade war, at a time when U.S. exports to China are already at a multiyear low,” Morgan reported. “In fact, China isn’t even the top destination for U.S. exports anymore. Yet, the American Soybean Association (ASA) now estimates that this could cost U.S. farmers $5.9 billion annually.”
Additionally, Bloomberg News reported this morning that “China retaliated to new tariffs imposed by President Donald Trump, announcing it would raise duties on US goods to 84%, deepening a trade war between the world’s largest economies.”
“The latest Chinese countermeasures are effective April 10, according to a government statement Wednesday. China’s move came hours after Trump’s sweeping measures went into force, taking the cumulative rate announced this year to 104%,” Bloomberg reported. “China also said it would sue the US at the World Trade Organization, added six firms to its unreliable entity list and 12 US firms to its export control list.”
Source : illinois.edu