Trump plans $121 billion emergency aid to farmers hit by retaliatory tariffs

Ann Santiago
July 25, 2018

The president traveled to Kansas City, Missouri, on Tuesday to speak with veterans and to address a fundraiser.

Later this week, Trump will visit Iowa and IL, two other farm-belt states, as he seeks to shore up support for Republican candidates in the U.S. Midwest.

The US Agriculture Department said the programme would provide emergency relief to offset an estimated $11bn in losses it expects farmers to incur as the trade disputes disrupt markets.

Details of the plan were not clear.The administration's proposal will rely on commodity support programs as well as the Agriculture Department's authority to stabilize farmers during times of turmoil, according to Politico.

The almost $12 billion package will include direct payments to producers of key agricultural exports like soybeans, corn, dairy and pork; a program to purchase surplus from some agricultural producers; and efforts to build out markets for U.S. agricultural products. The food purchased from farmers would include some types of fruit, nuts, rice, legumes, dairy, beef and pork, officials said.

"We'll make it up to them". If the trade war drags on, then so, too, will the administration's need to deploy some old-school democratic socialism (though perhaps with an appropriately Republican upward redistribution twist depending on how much aid goes to big agribusiness entities).

"These markets have been developed over years and because of trade agreements that we've had and whatnot", Flake said. "It's all working out, and just remember what you're seeing and what you are reading is not what's happening". "Just be a little patient", he said at a rally Tuesday around the time news of the USDA package broke.

Agriculture is the rare American industry that runs a trade surplus, with a projected $21 billion this year.

Farmers already have "quite a few" assistance programs, he said.

But officials said soybeans were likely to be the largest sector affected by the programs.

President Donald Trump is planning to provide a whopping Dollars 12 billion emergency financial aid to farmers who have been hit by retaliatory tariffs on agricultural products imposed by trading partners like China, India and the European Union, according to media reports. But the taxes also exact a toll on USA businesses and consumers, which pay more for imported products.

The Trump administration has slapped tariffs on $34 billion in Chinese goods in a dispute over Beijing's high-tech industrial policies.

Extra farm aid would be a balm to producers who are seeing prices drop and inventories rise because of disputes with China, Canada and other trade partners who are significant purchasers of USA pork, soybeans and other crops.

It's hoped the short term plan announced by the president will help farmers like Phillips.

"Tariffs are taxes that punish American consumers and producers", Kentucky Republican Senator Rand Paul wrote on Twitter here. Trump also has been under pressure from lawmakers representing rural parts of the country to back away from imposing tariffs.

While Republicans in Congress refrained from directly criticizing Trump, GOP leaders and rank-and-file members advocated against tariffs and trade feuds that result from them. "It's as simple as that".

Several countries and regions, including China, the European Union, Canada and Mexico, . have imposed heavier duties on US imports in retaliation to President Trump's tariff policies.

Trump is also set to meet Wednesday with European Commission President Jean-Claude Juncker.

In response to Perdue's announcement, the U.S. Wheat Associates and the National Association of Wheat Growers issued a joint statement thanking the administration for acknowledging that farmers need help.

In a statement, Cramer welcomed the assistance package but offered a caveat: "At the end of the day we want trade not aid".

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