Pinion’s Director of Government and Public Affairs Brian Kuehl has published a new update on the most recent policy changes and their impacts on the agriculture industry. In a March 27 news item, Farm Equipment shared a snapshot summary on the Trump Administration’s tariff updates and impacts from Kuehl.

Key takeaways from his latest article, “Update on Policy Challenges for Agriculture,” written and published on Pinion’s site May 12 by Kuehl, focus on the ways ongoing trade disruptions threaten to reduce the price of U.S. commodities, increase input costs, and allow U.S. competitors like Brazil to increase market share. Shared with permission, Kuehl provides current news on recently-announced tariff updates while providing a wide range of statistics and impacts as a result of the months of funding cuts and executive orders from the Trump Administration.

Reinforcing the fact that U.S. agriculture is dependent on global markets, Kuehl reports that in 2024, U.S. agricultural exports totaled $176 billion and produced about 20% of U.S. farm revenue. American farmers also rely heavily on inputs from other countries, he adds.

“Trade uncertainty continues to cloud agricultural exports, ag inputs, and markets,” says Kuehl, addressing the current status and future uncertainty. He noted that after President Trump announced sweeping reciprocal tariffs on imports from more than 180 countries on April 2, China, the European Union, and Canada each enacted or threatened retaliatory tariffs on a range of U.S. agricultural goods.

Offering an update on news emerging on the trade and tariff front in just the past week, Kuehl offers these latest outcomes.

  1. The United States and United Kingdom announced the framework for a trade deal last week — the first agreement since Trump launched steep global tariffs.
  2. While final details are still being worked out, concessions included eliminating United Kingdom’s tariffs on 370 million gallons of ethanol and increasing access for American beef. Any American beef exports will still have to meet U.K. food standards including standards relating to hormone-treated beef.
  3. The United States and China agreed to reduce tariffs on each other’s imports for 90-days, allowing time for further negotiations.
  4. The U.S. will temporarily lower its tariffs on Chinese imports from 145% to 30%, while the Chinese side will drop tariffs from 125% to 10%.
  5. Despite the recent progress on trade, significant tariffs remain in place and the 90-day U.S.-Chinese pause runs until Aug. 10, about a month after the expiration of a similar suspension of U.S. tariffs on the EU and other countries.

Kuehl expressed concern for the myriad ways in which ongoing uncertainty may impact a range of stakeholders throughout the industry.

“It is imperative we consider the long-term effects of these trade policies, which could lead to decreased market access and potentially permanent loss of market share to global competitors,” said Kuehl. “This ongoing uncertainty not only jeopardizes our farmers’ livelihoods but also the stability of food prices and supply chains both domestically and globally.”

Additional observations on key areas of impact Kuehl identified follow, shared with permission, as he writes on the changes at a wide range of organizations and government entities. Offering updates on the Commodity Credit Corporation (CCC), U.S. Agency for International Development (USAID), the Natural Resources Conservation Service (NRCS), and U.S. Department of Agriculture (USDA), he shares data and impacts across the ag industry. Kuehl writes:

CCC: During the first Trump administration, trade disruptions cost American farmers $27 billion in lost exports and led USDA to allocate Commodity Credit Corporation (CCC) funds to support impacted farmers. The CCC is now largely depleted, suggesting that additional funds will need to be appropriated by Congress.

USAID: Since taking office in January, the Trump administration has moved to cancel, freeze, or rescind billions in federal funding. One of the initial targets of funding cuts was the U.S. Agency for International Development (USAID). Foreign aid programs are a critical market for American agricultural products. USAID spent roughly $2 billion in fiscal year 2023/24 to purchase commodities from U.S. producers. Domestically, USDA has also cut programs that provide funding to schools and food banks to buy food directly from local producers.

NRCS: The proposed budget includes a $754 million cut to private lands conservation operations, increasing the financial burden on producers who are implementing projects through Natural Resources Conservation Service (NRCS) cost-share programs. Many producers are now facing a significant financial burden as the government’s share of the funding has been cancelled.

USDA: USDA plans to reduce its workforce by 30,000 employees through buyouts and an upcoming reduction in force. With many staff already departed or set to leave, USDA’s Farm Service Agency (FSA) and NRCS, already stretched too thin, faces even fewer resources, reducing assistance to farmers with disaster relief, conservation, loan, and commodity price guarantee programs. In addition to staffing cuts, some USDA authorities have been shifted. Farm loan officers must now receive Department of Government Efficiency (DOGE) approval for loans over $500,000. Combined with hiring freezes and reduced staff, this threatens to delay or disrupt essential USDA relief and loan programs.

Additional insights into the as-yet-to-be written Farm Bill, farm labor shortages, delays in tax legislation and uncertain future cuts reinforced Kuehl’s concerns.

Kuehl’s primary focus was summarized here: “The U.S. food and agriculture industry is being significantly impacted by the on-going trade wars, funding cuts, and delays in passing tax reform and the Farm Bill.” He reinforced that he and his colleagues and fellow advisors at Pinion will continue to monitor impacts on food and agriculture producers and business, and provide timely updates.

“This year marks a pivotal moment for American agriculture in Washington,” continued Kuehl. “It is more important than ever for producers, agribusinesses, and stakeholders to stay closely attuned to policy shifts coming out of Congress and the White House. The decisions made in D.C. over the next several months will shape the future of our industry for years to come.”

Pinion’s Director of Government and Public Affairs shares updates on the impacts of recent policy changes on the agriculture industry. With a background in environmental law and regulations, he identifies and educates business owners on how to influence and change political systems for a market advantage. Kuehl has earned a Certificate in Advanced Environmental Studies, Harvard University, Graduate School of Design; Juris Doctor, Environmental and Natural Resources law, University of Colorado School of Law; and holds a Bachelor of Science, Psychology, Philosophy, Political Science, University of California, Davis.

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