Farmers wary as U.S. pauses tariffs for some yet increases duties on China
President Donald Trump announced a 90-day pause on increased reciprocal tariffs for most U.S. trading partners, offering a temporary reprieve amid escalating global trade tensions. The April 9 decision excludes China, which will now face a steep 125% tariff rate on exports to the U.S., a response Trump attributed to Beijing’s lack of “respect” for global markets.
The pause follows outreach from more than 75 countries, according to the White House. Trump emphasized that affected countries have refrained from retaliatory action and will see a reduced 10% reciprocal tariff during the pause, effective immediately.
The pause does not roll back existing tariffs and excludes sectors such as steel, aluminum, autos, lumber and pharmaceuticals, which remain under previous or planned duties. Tariffs on Canadian and Mexican goods not covered by the United States-Mexico-Canada Agreement (USMCA) remain at 25%, with an additional 10% duty on potash and energy imports from Canada.
White House officials confirmed the new China tariffs will be layered atop existing 20% duties, bringing the total to 145% for affected Chinese goods. The move follows Beijing’s announcement of 50% retaliatory duties on U.S. imports, set to take effect next week.
China’s exclusion has intensified concerns in the agricultural sector, particularly for soybean producers. The American Soybean Association warned that the tariffs could cost U.S. farmers $5.9 billion annually.
In response to the tariff pause, Zippy Duvall, president of the American Farm Bureau Federation, said in a release, “Farm Bureau appreciates President Trump’s decision to pause the reciprocal tariffs on dozens of America’s trading partners for 90 days. We have been engaging directly with the White House, U.S. Trade Representative and U.S. Department of Agriculture to emphasize the toll tariffs will take on America’s farmers and ranchers, who are already strapped because of high supply costs and shrinking paychecks. Creating more market challenges puts at risk more than 20% of U.S. farm income. We’re encouraged that those concerns are being heard.
“While the pause brings some temporary certainty, questions remain about the long-term competitiveness for farmers in the global marketplace. We encourage the administration to swiftly resolve trade disputes and to pursue strategies that will ensure America’s farmers can continue to stock the pantries of families here at home and abroad.”
The European Union has also paused its retaliatory measures in response but warned that countermeasures remain under consideration if negotiations falter.
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