Agriculture Secretary Sonny Perdue said Friday that the Trump administration would provide additional aid to farmers to make up for the current escalation in the trade war with China. Beijing, one of the largest purchasers of U.S. farm exports, has warned of unspecified retaliation for the administration’s move Friday to place 25% tariffs on Chinese goods.
“Just spoke with @POTUS — while China may backtrack, @POTUS is steadfast in his support for U.S. farmers and directed @USDA to work on a plan quickly. @POTUS loves his farmers and will not let them down!” Perdue tweeted Friday. POTUS refers to the president of the United States.
He gave no details on how much aid would be provided. In February, Perdue told Senate Agriculture Committee the administration had provided $8 billion in aid so far to offset “the disruption in commodity markets caused by unfair tariffs on U.S. agricultural products.”
Trump suggested Friday morning that the government would use tariff revenues to benefit farmers.
U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin held a second consecutive day of talks Friday with Chinese Vice Premier Liu He. No resolution was announced.
“Chinese side insists on a few core points: US side should remove all additional tariffs, amount of purchase the US requests should be in line with reality; the text of the agreement must respect sovereignty and dignity. I think the insistence is reasonable,” tweeted Hu Xijin, editor-in-chief of Chiba’s Global Times, a state-backed publication.
Friday’s meeting happened despite the U.S. following through on a threat to hike existing tariffs on $250 billion worth of Chinese goods to 25% across the board, up from 10% in most cases, and beginning the process of placing 25% tariffs on a further $325 billion worth of goods.
“Talks with China continue in a very congenial manner – there is absolutely no need to rush – as Tariffs are NOW being paid to the United States by China of 25% on 250 Billion Dollars worth of goods & products. These massive payments go directly to the Treasury of the U.S.,” President Trump tweeted Friday.
China’s Commerce Ministry said that it “deeply regrets” the U.S. move and that it would respond, without elaborating on how.
