In Farm Belt, objections mount to ‘endless tariff war’

In a sign that their patience is waning, soybean leaders called for talks, not tariffs, in the Sino-U.S. trade war. “With depressed prices and unsold stocks expected to double by the 2019 harvest, soybean farmers are not willing to be collateral damage in an endless tariff war,” said Davie Stephens, a Kentucky farmer and president of the American Soybean Association. The National Farmers Union, the second-largest U.S. farm group, also said that the financially beleaguered agricultural sector needs long-term economic solutions, rather than spur of the moment bailouts from the White House. Building on Twitter posts over the weekend, President Trump told reporters the administration would provide $15 billion in assistance “so our farmers can do well.” He gave no details. A 2018 package sent $8.3 billion in cash to producers of nine commodities.Senate Agriculture chairman Pat Roberts urged a speedy resolution of the trade war. “It is essential to focus on what can be done now,” said Roberts. “These negotiations must find a successful conclusion soon so our producers can realize open and reliable markets in China and around the world.”The administration is quick to promise and slow on details, said economists Brent Gloy and David Widmar, when “farmers and ranchers deserve better” than short-term thinking. “We contend it is exceedingly difficult for U.S. producers to make business and financial plans when the promises are a combination of mixed messages and light on details. However, a strategic plan with long-term, multiple-year payments mechanisms built in – should the trade war continue – would significantly help farm managers and the farm economy.”In some of the strongest language yet by a U.S. farm group, the American Soybean Association said the trade war threatens farmers’ ability to stay in business. The ASA urged the administration to remove its unilateral tariffs and work with other nations to reform China’s trade policies. Before tit-for-tat tariffs, China bought a third of U.S.-grown soybeans. Exports have plunged and the U.S. stockpile is headed for a record 1 billion bushels, a three-month supply.“Our patience is waning, our finances are suffering and the stress from months of living with the consequences of these tariffs is mounting,” said ASA chairman John Heisdorffer, of Iowa.