News

Uncertainty Clouds Tariff Aid as USDA Weighs Trade Impacts

Ag Secretary Brooke Rollins says farmers will be supported-but the size and scope of tariff assistance remain unclear amid evolving U.S.-China tensions.

AgroLatam USA
AgroLatam USA

Agriculture Secretary Brooke Rollins acknowledged Thursday that the Biden-Trump administration is still trying to determine the full scope of trade losses U.S. producers may face-and with it, the size of a potential tariff assistance package. Speaking to reporters at the White House, Rollins said, "There still are so many unknowns as the negotiations are continuing."

While farmers await details, the tariff landscape is shifting week by week. New sector-specific tariffs on lumber have already taken effect, while both the U.S. and China have imposed port fees on each other's vessels. President Trump has also threatened 100% tariffs on Chinese goods in response to Beijing's expanded rare earth export controls, though officials have hinted that those may be postponed if China reciprocates.

Rollins noted the administration is also actively pursuing new trade openings for U.S. ag commodities, teasing "a couple of announcements next week" about row crop exports gaining new market access. At the same time, the U.S. is in discussions with South American partners to expand their soybean crushing capacity using U.S.-sourced beans-part of a strategy to keep American exports moving even amid disruptions.

The situation with China, she emphasized, remains fluid. "There could be a deal tomorrow-I don't think there will be-but it remains a possibility," Rollins said. If such a deal were to materialize, it could immediately re-trigger Chinese demand for U.S. ag products, particularly soybeans.

Still, she assured reporters that support for farmers is guaranteed, no matter the outcome. "What we have done is ensured, per the president's direction, that these farmers will have a backstop if we're not able to move these commodities."

Earlier this month, Treasury Secretary Scott Bessent said a tariff assistance package was nearly ready for rollout, but further movement was delayed by the ongoing federal government shutdown. Quietly, the administration has already reallocated $13 billion from the original trade aid fund used during Trump's first term, transferring it to the secretary's discretion for future use.

In a separate interview Thursday with Fox News, Rollins reaffirmed that aid announcements will come after the shutdown ends. But she also made clear that the goal is not another wave of bailout checks.

"They don't want these checks. They want markets," Rollins said, reflecting the sentiment she hears across farming communities. "And as these markets are being opened up, as all these new trade deals are going into effect over the next six to 12 months, you will see, hopefully, a movement away from nearly a century of recurring farm bailouts."

She underscored that ending dependency on assistance will take time, but believes the current administration could lay the foundation. "We've got to put a 20-year plan in place to get us off [of the assistance cycle]."

Esta nota habla de: