Trump administration planning emergency aid to farmers affected by tariffs

Trump administration planning emergency aid to farmers affected by tariffs

Trump administration planning emergency aid to farmers affected by tariffs

The Trump administration readied a plan Tuesday to send billions in emergency aid to farmers who have been caught in the crossfire of President Donald Trump's trade disputes with China and other USA trading partners. This aid package can be authorized without congressional approval because it uses the Department of Agriculture's Commodity Credit Corporation, a Depression-era program authorized to borrow up to $30 billion in order to "stabilize, support, and protect farm income and prices".

The White House has searched for months for a way to provide emergency assistance to farmers without backing down on Trump's trade agenda, and the new program will extend roughly $12 billion through three different mechanisms run by the Department of Agrigulture.

While promoting the worldwide negations, Mr. Trump praised his hard-line trade strategy, saying slapping tariffs if the treated unfairly is "simple".

But the plan magnified objections among many Republicans that the tariffs amount to taxes on American consumers. "Farmers need contracts, not compensation, so they can create stability and plan for the future", said the group's executive director, Brian Kuehl.

After Trump announced plans to impose $50 billion in tariffs on Chinese imports, Beijing retaliated with plans to impose tariffs on a range of agricultural products from the U.S. including soybeans, grains, meats and dairy products.

During a Monday event at the White House featuring American-made goods, Trump displayed a green hat that read, "Make Our Farmers Great Again".

His comments come as the president is engaged in tough talk on trade with China, Canada and many European nations.

The imposition of punishing tariffs on imported goods has been a favoured tactic by Trump, but it has prompted USA partners to retaliate, creating risks for the economy. The U.S. and European allies have been at odds over the president's tariffs on steel imports and are meeting as the trade dispute threatens to spread to automobile production. "The fact that other countries are bad at economics-and harm their own people with tariffs and other protectionist schemes-does not justify our own economic incompetence". Additionally, the product's final assembly or processing must have taken place in the US. "This is the way it's going to go - make our farmers great again".

On Wednesday, European Commission President Jean-Claude Juncker will meet with Trump at the White House to discuss a "wide range of issues" - a week after the president referred to the European Union as "a foe".

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