Some Republicans say the best thing Congress could do to help farmers withstand the turmoil in trade policy is to pass a new farm bill. But economists say the legislation is unlikely to offer much relief to farmers, especially soybean growers, even if commodity prices don’t recover from their current tariff-induced slump.
Chinese importers have already stopped buying U.S. wheat, soybean purchases are expected to drop even further, and the U.S. ag sector is expecting the financial pain to increase exponentially as long as the Trump administration persists in a trade war with China.
President Donald Trump today announced the U.S. will hit China with $50 billion worth of tariffs on more than 1,000 Chinese productds, taking the U.S. closer to a trade war with the Asian nation, which has threatened to hit back with tariffs on U.S. soybeans, wheat, corn and other commodities.
You won’t find any tourists in the muddy, mosquito-ridden town of Barcarena in Brazil’s state of Pará, but you can’t miss the almost constant parade of trucks pulling in and out of port facilities under the scorching sun or torrential rainfall on the country’s northern coast.
Prospects for U.S. farm exports can change suddenly and dramatically. Breaking into foreign markets takes decades of persistent hard work and hefty investments in building infrastructure, relationships and, ultimately, sales.