Trump says U.S. farmers to get $15 billion in aid amid China trade war




 

WASHINGTON (Reuters) - President Donald Trump said on Monday that his administration was planning to provide about $15 billion (£11.57 billion) in aid to help U.S. farmers whose products may be targeted with tariffs by China in a deepening trade war.

"We're going to take the highest year, the biggest purchase that China has ever made with our farmers, which is about $15 billion, and do something reciprocal to our farmers so our farmers can do well," Trump told reporters at the White House.

He did not provide more details on what kind of an aid package it would be.

American farmers, a key constituency of Trump, have been among the hardest hit in the trade war. Soybeans are the most valuable U.S. farm export, and shipments to China dropped to a 16-year low in 2018. Sales of U.S. soybeans elsewhere failed to make up for the loss. U.S. soybean futures fell to their lowest in a decade on Monday.

U.S. Agriculture Secretary Sonny Perdue said on Friday that Trump had asked him to create a plan to help American farmers cope with the heavy impact of the U.S.-China trade war on agriculture.

A new aid programme would be the second round of assistance for farmers, after the Department of Agriculture's $12 billion plan last year to compensate for lower prices for farm goods and lost sales stemming from trade disputes with China and other nations.

"Out of the billions of dollars that we're taking (in on tariffs on Chinese imports), a small portion of that will be going to our farmers, because China will be retaliating, probably to a certain extent, against our farmers," Trump said.

The tariffs are not paid by the Chinese government or by firms located in China. They are paid by importers of Chinese goods, usually American companies or the U.S.-registered units of foreign companies.

On Monday, China said it would impose higher tariffs on a range of U.S. goods, including frozen vegetables and liquefied natural gas, striking back in its trade war with Washington after Trump warned it not to.

Last year, Beijing imposed tariffs on imports of U.S. agricultural goods, including soybeans, grain sorghum and pork as retribution for U.S. levies.

While farmers have largely remained supportive of Trump, many have called for an imminent end to the trade dispute, which propelled farm debt to the highest levels in decades and worsened credit conditions for the rural economy.

Trump's pledge on Friday to buy American farm products that China normally imports and distribute them to poor countries drew criticism from Canada.

"Dumping products in developing countries is not the way we do things," Canadian Agriculture Minister Marie-Claude Bibeau told reporters on a conference call from the G20 meeting in Japan, adding such efforts required multilateral coordination.

"It seems easy, but it is complicated to do it the right way," Bibeau said. "Obviously, it may create some distortion in the market and this is what we want to avoid."


(Reporting by Jeff Mason; Additional reporting by Rod Nickel in Winnipeg, Manitoba; Writing by Tim Ahmann and Humeyra Pamuk; Editing by Jonathan Oatis and Peter Cooney)

COMMENTS

More Related News

Trump Campaign Looks at Electoral Map and Doesn
Trump Campaign Looks at Electoral Map and Doesn't Like What It Sees

President Donald Trump is facing the bleakest outlook for his reelection bid so far, with his polling numbers plunging in both public and private surveys and his campaign beginning to worry about his standing in states like Ohio and Iowa that he carried by wide margins four years ago.The Trump campaign has recently undertaken a multimillion-dollar advertising effort in those two states as well as in Arizona in hopes of improving his standing while also shaking up his political operation and turning new attention to states like Georgia that were once considered reliably Republican. In private, Trump has expressed concern that his campaign is not battle-ready for the general election, while...

Trump says he went to White House bunker for
Trump says he went to White House bunker for 'inspection,' not because of protests

President Donald Trump denied reports that he was escorted to an underground bunker at White House because of security concerns amid violent protest.

Former Commanders Fault Trump
Former Commanders Fault Trump's Use of Troops Against Protesters

WASHINGTON -- Retired senior military leaders condemned their successors in the Trump administration for ordering military units Monday to rout those peacefully protesting police violence near the White House.As military helicopters flew low over the nation's capital and National Guard units moved

Police Target Journalists as Trump Blames
Police Target Journalists as Trump Blames 'Lamestream Media' for Protests

Barbara Davidson, a Pulitzer Prize-winning photojournalist, was covering a protest near The Grove shopping mall in Los Angeles on Saturday when a police officer ordered her to move.She showed him her press credentials, she said in an interview. The officer said he did not care and again told her to leave the area.After saying, "Sir, I am a journalist covering this," Davidson turned to walk away, and the officer shoved her in the back, causing her to trip and hit her head against a fire hydrant, she said. She was not hurt, she added, because she was wearing a helmet she had bought while getting skateboarding equipment for a nephew.Davidson, who sells her work through Redux Pictures, an...

Trump says he is mobilizing
Trump says he is mobilizing 'heavily armed' military to stop protests

In a dramatic escalation of a national crisis, National Guard troops were deployed near the White House Monday evening hours after President Donald Trump said he wanted a military show of force against violent protests gripping the country. Shortly after, Trump came to the White House Rose Garden to

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Economy