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"Tariffs Are Great": Trump Defends Trade Strategy Ahead Of EU Chief Visit

Scott Olson

But it is a bit novel to hit farmers with one hand and then offer them compensation with the other, and it could even expose the U.S.to sanctions by the World Trade Organization for supplying the same sorts of illegal subsidies of which Trump likes to complain.

Farm state lawmakers and other groups quickly criticized what they called a bailout. Sen. Rural and agricultural states supported Trump by wide margins in the 2016 election.

In June, Perdue assured farmers that President Trump "will Protect American Farmers from China's Trade Retaliation". And the farmers will be the biggest beneficiary.

Ben Sasse of Nebraska said Trump's trade war "is cutting the legs out from under farmers and White House's "plan" is to spend $12 billion on gold crutches". "But we can not overstate the dire consequences that farmers and ranchers are facing in relation to lost export markets", he added, "and we will continue to push for a swift and sure end to the trade war".

The U.S. Department of Agriculture said the amount is in line with the $11 billion estimated impact of tariffs.

The Washington Post notes that the program was created so long ago that it doesn't require congressional approval while taking out a loan of up to $30 billion.

"These programs recognize the market challenges our farmers are facing today, and will provide some temporary assistance".

Trump on Tuesday announced a $12 billion bailout for American farmers whose export markets have been hit by retaliatory tariffs from China. The U.S. and European allies have been at odds over Trump's tariffs on steel imports and are meeting as the trade dispute threatens to spread to automobile production.

The plan focuses on Midwest soybean producers and others targeted by retaliatory measures.

The president appealed for patience on his trade policies at the annual Veterans of Foreign Wars national convention in Kansas City, Missouri.

The United States exported $138 billion in agriculture products in 2017, including $21.5 billion of soybeans, the most valuable export. But they also exact a toll on domestic companies and consumers through higher prices on imported goods when American trading partners retaliate.

When Donald Trump announced his tariffs plan in April he promised that it would only work to benefit farmers. "This should help many of our farmers and ranchers weather the rough road ahead and assist in their dealings with their financial institutions".

How it will work: The plan, reportedly in the works for months, has three parts.

Options activity has been known to spike before the public announcement of market-moving news and the U.S. Securities and Exchange Commission has pursued enforcement actions when the activity has been determined to be insider trading involving options. I've had several White House meetings with President Trump to express my concerns in strong terms.

The aid package is expected to target soybean farmers, dairy farmers, and pork producers, among others.

But speaking out against the "blunt instrument of tariffs" Heidi McAuliffe of the American Coating Association said that chemical materials like polymers were created through "very mature processes", and as such did not constitute the type of innovative technology characterising the Made in China 2025 plan. "If tariffs punish farmers, the answer is not welfare for farmers - the answer is remove the tariffs". Heidi Heitkamp this fall.