Published: Tue, July 24, 2018
Finance | By Cynthia Curry

Why Trump’s tariffs could actually help farmers

Why Trump’s tariffs could actually help farmers

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.

The total bailout is reportedly about $12 billion, and the official announcement - which the network said would likely target dairy, pork and soy products - could come as soon as Tuesday afternoon, hours after the president's tweet. "Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs", Mr. Trump wrote. "All will be Great!"

Sen. Ben Sasse, R-Neb., said the plan would spend billions on "gold crutches".

Tariffs are the greatest!

The agriculture sector was already suffering before the president's tariffs. This has more to do with oversupply than the tariffs, though. The imposition of punishing tariffs on imported goods has been a favoured tactic by Trump, but it has prompted US trading partners to retaliate, creating risks for the economy.

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.

Mueller looks for immunity for five
The former Trump campaign chairman faces a number of charges including fraud, money laundering and obstruction of justice. All five have invoked their Fifth Amendment rights against self-incrimination, according to the four-page document.

For instance, China is the biggest buyer of USA soybeans, importing more than $12.4 billion worth of the oil seed in 2017, according to the Peterson Institute for International Economics. Farmers in Iowa alone could lose as much as $624 million on soybean shipments to China, Donnelle Eller, an agriculture reporter with the Des Moines Register, told CBSN last month.

You read that and wonder if Trump took a single economics class at the University of Pennsylvania, but it's not an entirely unpopular position.

There's no sign of a quick resolution to the trade dispute.

"The single best tribute to our workers can be found in the unmatched quality and craftsmanship of the fantastic products they bring from the blueprint to the storefront", Trump added in a statement.

This is a developing story and will be updated.

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