"To the Great Farmers of the United States: Get ready to start making a lot of agricultural product to be sold INSIDE of the United States. Tariffs will go on external product on April 2nd. Have fun!"
That was the message on the Truth Social platform from the president of the United States, Donald Trump, the politician who has numerous times professed to love America’s farmers.
The president has threatened tariffs. He has waited on some tariffs. He has adjusted tariffs. He has implemented some tariffs. He has delayed other tariffs.
This has brought nearly two months of uncertainty for farmers and producers as he tries to force Mexico, Canada, and China to bend to his demands to be more aggressive in preventing undocumented immigrants and drugs from entering the United States.
Since Trump returned to office, both Mexico and Canada have taken steps to bolster security at their borders.
A 48-hour period earlier this week demonstrated the unpredictability of Trump’s tariffs.
Tuesday: Trump instituted 25% tariffs on Mexico and Canada.
Wednesday: Trump exempted U.S. automakers from the tariffs.
Thursday: Trump announced that he would delay the 25% tariffs on some products from Mexico and Canada until April 2.
The delayed tariffs involve products that could be protected under the United States-Mexico- Canada Agreement that Trump approved during his previous time in office.
However, that still leaves tariffs on about 50% of Mexican products and 60% of Canadian products.
Trump already placed 20% additional tariffs on China.
Tariffs rattled the financial markets in the U.S., stoked fears about escalating inflation, and brought warnings from economists that a prolonged trade war could push the U.S. economy into recession.
Farmland operators and producers could see higher fuel, food, and packaging costs due to tariffs.
The Trump administration updated tariffs to exempt potash from Canada, a key ingredient in fertilizer. That action brought praise from U.S. Senator Chuck Grassley, a Republican from Iowa who is also a family farmer.
“President Trump is using tariffs as a negotiating tool to halt the deadly flow of fentanyl. I agree this is a deadly crisis, and it’s why I’m currently leading the HALT Fentanyl Act’s passage through Congress,” Grassley’s statement read.
“For four years, farmers suffered under Joe Biden and Kamala Harris’ reckless policies that drove up input costs, especially for fertilizer. I appreciate President Trump showing understanding for farmers by lowering the proposed tariffs on Canadian potash.
Alongside President Trump, I’ll continue working to ensure farmers aren’t left behind like they were during the Biden-Harris administration.”
Under Joe Biden’s administration, farmers had back-to-back years of record incomes in 2021 and 2022. However, incomes fell the next two years.
“Lower prices aren’t fun for farmers,” said Iowa National Farmer Union President Aaron Lehman, who led a virtual town hall meeting with Grassley on Monday.
He added that, “Losing reliable trade markets is not fun for farmers."
U.S. farmers export 10-20% of their corn harvest and about half of their soybeans. An extended trade war, which diminishes demand for U.S. exports, could cause oversupply in the United States and force down prices.
That could be especially challenging for U.S. producers who already have been dealing with declining incomes.
