On the same day that China and the United States tentatively reached a “phase one” agreement on a trade deal, Agriculture Secretary Sonny Perdue said that he expects producers will still receive the final $3.6 billion in trade war payments President Trump authorized last spring.
If there is no near-term resolution of the Sino-U.S. trade war, the Trump administration will need to spend billions of dollars in additional trade war payments to farmers and ranchers or watch farm income sink, said two economists on Monday. Either way, there would be painful restructuring in the sector, which has collected more than $10 billion in Trump tariff payments this year.
China said it would waive import tariffs on some shipments of U.S. soybeans and pork in a goodwill gesture hours before White House economic adviser Larry Kudlow said the two nations were close to an interim agreement on the trade war. "No arbitrary deadlines," said Kudlow, but the Trump administration has set Dec. 15 as the date for higher duties on $160 billion of consumer goods made in China.
In the largest numbers yet, farmers say they expect a trade deal soon with China and by even larger margins, they believe it will benefit them, said a Purdue University poll released on Tuesday, the same day that President Trump said an agreement could be a year away. “In some ways, I like the …
Brazil and Argentina are taking actions that are "not good for our farmers," said President Trump on Monday, announcing high tariffs on steel and aluminum imports from the South American nations. Trump, who announced the tariffs on social media, said the weakening Brazilian real and Argentina peso adversely affects U.S. manufacturing and agricultural exports, making American-made goods more expensive.
Fueled by $14.5 billion in Trump tariff payments, U.S. net farm income will climb to its highest total since the commodity boom crested in 2013 and a dramatic rebound from the plunge that accompanied its collapse, the USDA estimated. When crop insurance indemnities are added to "direct farm program payments," a category that includes trade war aid, land stewardship payments and traditional crop supports, the government will provide an unusually high 31 percent of farm income this year.
Producers in Iowa and Illinois reaped 20 percent of the trade war payments from the Trump administration, as cash disbursements leaped to nearly $10.2 billion nationwide for this year's crops and livestock. Iowa collected $1.15 billion and Illinois $1.06 billion, according to the USDA.
The China-U.S. trade war cut deeply into U.S. farm exports to China, but not as far as initially estimated, said the Department of Agriculture on Monday. The agency forecasted $139 billion in agriculture exports, the largest amount in three years and up 3 percent from 2019. A key reason for the …
With the Sino-U.S. trade war unresolved, the Trump administration released $3.625 billion in trade-war payments to farmers and ranchers on Friday to offset losses on 2019 production. Payments will begin this week and Agriculture Secretary Sonny Perdue said they "will give farmers, who have had a tough year due to unfair trade retaliation and natural disasters, much needed funds in time for Thanksgiving.”