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In this photo of July 18, 2018, Michael Petefish, a soy farmer, stands inside a soy bin on his farm near Claremont, in southern Minnesota. US farmers have curbed unnecessary spending as the trade war between the US and China worsens. (AP Photo / Jim Mone)
The White House plans to announce Tuesday a $ 12 billion extension plan Emergency assistance to peasants caught amid the escalation of President Trump's trade war, two informed people on the plan said, the last sign that the growing tensions between the United States and other countries will not end soon
Tuesday
Farm groups complained that the measures taken by China and other countries in response Trump's protectionist attitude could cost them billions of dollars, frightening Republicans who fear a political and economic return to Trump's approach. has sought for months a way to provide emergency assistance to farmers without backing down on Trump's trade program, and the new program will expand about $ 12 billion across three different mechanisms managed by the department
The funds will come from direct assistance, from a program of purchase and distribution of food and from a commercial promotion program.
He will rely in part on a program of the era of depression called Commodity Credit Department of Agriculture established in 1933 to provide financial support to farmers.
Soybean prices have dropped in recent months, although Trump has tried to deflect responsibility and promised to take care of these farmers, many of whom come from politically crucial states like Iowa and Wisconsin
The Ministry of Agriculture's new plan would advance emergency funding for these farmers but would not likely provide a long-term solution if trade disputes with China and the United States are met. other countries persisted. Because the program was created during the Depression, it does not depend on the new congressional approval. It allows the CCC to borrow up to $ 30 billion from the Treasury to "stabilize, sustain and protect farm incomes and prices."
Yet a few months ago, some Republicans had warned against using the CCC in commerce. According to him, this could distort market forces and pay farmers for products that they do not produce.
Trump is trying to calm a growing number of complaints from Republicans and business groups, who complain that his approach strips of the economy.
Sen. Ron Johnson (R-Wis.) Said Tuesday he heard several companies in his state that the main beneficiaries of Trump's tariffs are foreign competitors who are not hit by higher prices on their materials.
Heritage Foundation, Johnson said that these trade disputes "could totally get out of hand" and compared them to "throwing a pomegranate of uncertainty" into the economy.
Over the past four months, Trump has imposed tariffs against steel and aluminum It threatens to expand the scope of customs duties to imports of cars and of uranium, among other things.
Several of these countries have imports from China, Canada, Mexico, the European Union, Japan and other countries. have responded to Trump's trade measures by imposing their own tariffs, and farmers have complained of being retaliated by other countries on which they rely to sell their products.
mp showed no sign of recoil.
In a series of posts on Twitter, he extolled his strategy.
"Rates are the best!" he writes on Twitter. "Either a country that has treated the United States unfairly on trade negotiates a fair deal, or it is hit by tariffs." It's as simple as that – and everyone is talking about it! "
Some A number of White House officials, worried about Trump's use of tariffs, hoped other countries would offer concessions quickly before things get worse. But conservative critics of the White House's approach said Tuesday that Trump's decision to offer bailouts to farmers suggests that the stalemate with other countries will not end soon . do you have to buy the political silence of the farmers? Douglas Holtz-Eakin, former director of the Congressional Budget Office, wrote on Twitter:
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