By Jamie Martin
The White House is considering emergency aid for American farmers who may be affected by retaliation from global trading partners in response to newly proposed tariffs.
As trade tensions rise, the administration has begun early discussions to support farmers through the U.S. Department of Agriculture (USDA), which may revive aid efforts similar to those used during the 2018 trade war with China. That program provided $23 billion in payments to farmers who suffered from lost export markets.
Secretary of Agriculture Brooke Rollins said, “Mr. Trump had asked her to have some programs in place that would potentially mitigate any economic catastrophes that could happen in a global trade standoff.”
Officials have discussed possible funding mechanisms, including the use of the Commodity Credit Corporation (CCC), which is authorized to borrow up to $30 billion from the Treasury.
This fund has historically helped stabilize commodity prices and farm incomes during trade disruptions and natural disasters.
Economists warn that new tariffs may increase costs for consumers while causing foreign buyers to impose duties on U.S. farm goods such as soybeans, corn, and dairy.
The European Union and China have already shown readiness to retaliate, which could hurt American exports and drive down prices for key crops.
Farmers are concerned that ongoing trade tensions may damage long-term markets and reduce international demand for U.S. agricultural products.
Some producers, including those in corn and soybean sectors, worry they may lose buyers permanently if trade disputes continue.
Although financial aid might ease immediate losses, experts argue that free and fair trade is more effective than prolonged government intervention.
The USDA’s current budget limitations might also require new funding approval from Congress to extend any future bailout.
Photo Credit: usda
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