Trump’s Farmer Aid: New “Winners and Losers” in the Trade War

For months, many sectors in the US have been complaining about the economic pressure created by the tariffs imposed by Donald Trump. But now the first group to receive aid has been identified: farmers.

The Trump administration is preparing a multi-billion dollar aid package, especially to support soybean producers. China’s near-halt of soybean purchases from the US this year has caused significant losses for many farmers.

This plan is a continuation of the agricultural support program that Trump initiated in his first term and aims to alleviate pressure on his own voter base.

“It looks like a political move”

However, other sectors are experiencing great disappointment with this decision. Many businesses, whose costs have increased due to tariffs, are angry at being excluded from the aid. Justin Turbeest, a small brewer in Wisconsin, was forced to close his business due to rising aluminum and grain prices.

“This is completely a political move. Small businesses like ours have become victims of this policy.”

“It’s not right to pick winners and losers”

Alexis from the Small Business Association

D’Amato, while supporting aid to small farmers, criticized the exclusion of other businesses:

“It is not fair to choose winners and losers in this trade war.”

Non-agricultural sectors are in trouble

Not only farmers, but also wine and spirits producers have suffered greatly. The California Wine Institute announced that exports have fallen by 30%, and sales of distilled spirits to Canada have decreased by 85%. American spirits are still banned from shelves in some US states. Scott Breen, president of the can manufacturers’ association, stated that taxes on tinplate have increased food packaging prices, indirectly impacting farmers. Some farmers welcome the aid but do not expect a permanent solution. Indiana farmer Mark Legan described this support as a “band-aid effect”:

“I’ll get the money, but it won’t solve the problem.”

According to experts, this aid package is seen as a political move by Trump targeting his rural voters. Cornell University economist Chris Barrett, reminding us that agriculture is no longer poor compared to the national average, asks the following question:

“Should aid really be given to already wealthy farmers, especially those who support these policies?”

Trump, on the other hand, rejected aid for small businesses, saying, “They won’t need it.” However, rising costs and declining exports clearly show that there is no winner in the trade war in the US.

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