President Trump unveiled $12 billion in aid to US farmers, as the agricultural sector deals with the fallout from his sweeping tariff policies.
The sector has been hit particularly hard from the president’s ever-changing trade policies, as farmers have struggled to sell crops and been hit by higher costs. Soybean exports have come in particular focus, with trade slowing to a crawl as China virtually halted its purchases before the countries agreed to a trade truce in October.
Trump said the money for farm relief would come from a “small portion” of tariff-related revenues. Despite welcoming the support, US farmers have said they need more than a $12 billion aid package to fully offset low crop prices and lost export opportunities due to Trump’s trade war.
The farm bailout comes amid an increased push on Americans’ price concerns. In an interview published Tuesday, Trump allowed he may look for “some” additional carveouts, weeks after his administration slashed tariffs on items like beef, coffee, and bananas.
The push to reduce food prices comes in the wake of electoral wins for Democrats across a number of key state and local races where candidates stressed affordability concerns. Trump has also in recent weeks floated the possibility of a tariff “dividend” for many Americans in the form of a $2,000 check.
The US Supreme Court is poised in the weeks ahead to decide the legality of the majority of those tariffs. The president invoked the International Emergency Economic Powers Act (IEEPA) to levy blanket tariffs on goods from other countries. As he has publicly braced for the high court’s decision, Trump has claimed the “full benefit” of tariff policies would take effect soon, arguing that foreign buyers who stockpiled inventory would be forced to buy more goods.
Read more: What Trump’s tariffs mean for the economy and your wallet
The trade deal between the US and Indonesia is in danger of collapsing, according to The Financial Times. US officials have grown increasingly frustrated at what they view as Jakarta reneging on the terms of the agreement reached in July.
Trump threatened to impose an additional 5% tariff on Mexico if it doesn’t provide additional water to help US farmers. Trump accused Mexico of violating a treaty that outlines water sharing between the countries.
Trump gave the green light on Monday for Nvidia (NVDA) to sell some of its more powerful H200 chips to China. The US president said that China’s Xi Jinping had responded “positively” to the move.
Several US companies, such as Costco (COST), have filed lawsuits and claims to the US government for tariff refunds in the belief Trump’s tariffs will be struck down by the US Supreme Court. If the courts rule against Trump’s tariffs, the president may be forced to repay billions of dollars in collected revenue from imports, according to a report in the New York Times.
LIVE145 updates
Tariff revenue dipped slightly in November after Trump pulled back on grocery store duties
Yahoo Finance’s Ben Werschkul reports:
Read more here.
Emerging markets are shrugging off Donald Trump’s tariffs
The FT reports:
Read more here.
Trump’s tariffs intensify strain on US farmers, Deere warns
Deere (DE) has warned that President Trump’s tariffs are backfiring on US farmers, prompting some to delay replacing outdated or old equipment.
The FT reports:
Read more here.
Trump, Modi speak as US-India trade talks inch forward
President Trump and India’s Prime Minister Narendra Modi have spoken in a bid to ease trade tensions between the two sides. Modi said the conversation was “warm and engaging” and added that they had “reviewed the progress for bilateral relations and had also discussed regional international developments.”
Trump imposed 50% tariffs on India, 25% of which was due to India’s purchase of Russian oil. Hints that both sides were trying to reconcile and restart trade negotiations emerged earlier this week, with the arrival of US officials in New Delhi.
Bloomberg news reports:
Read more here.
US trade deficit narrows in September to hit smallest margin in more than 5 years
The US trade deficit narrowed in September to its smallest margin in more than five years, as exports increased healthily and imports grew slightly.
The deficit shrank by 10.9% to $52.8 billion, according to data released by the Department of Commerce on Thursday, marking the lowest level seen for the measure since June 2020.
Exports rose 3% to $289.3 billion in the month, while imports rose by a much softer 0.6% to $342.1 billion. The month saw noted strength in consumer goods exports, which reached a record high in September, while on the other side, imports of automotive vehicles, engines, and other parts fell to their lowest level since November 2022.
The real goods deficit narrowed by 5.6% on the month, equal to $4.7 billion. Making up that figure, real exports of goods gained 4.2% against a gain in nominal goods exports of 4.9%, while real imports of goods gained 0.7% equal to a gain of 0.7% in nominal goods imports.
Notably, the US’ trade deficit with China — a longtime preoccupation of the Trump administration and President Trump personally — shrank to $11.4 billion from a previous $15.4 billion, a change of roughly 25%.
US can replicate revenues if Supreme Court rules against IEEPA tariffs: Greer
US Trade Representative Jamieson Greer said on Wednesday that the US will other measures to recreate the $200 billion in revenues it is collecting under tariffs if the Supreme Court shuts down the use of the International Emergency Economic Powers Act that the Trump administration is currently using.
Reuters reports:
Read more here.
How Trump’s tariffs forced China to pivot – and export more
CNN reports:
Read more here.
Powell says tariffs have caused inflation ‘overshoot’
Fed Chair Jerome Powell on Wednesday pointed to President Trump’s tariffs as the reason for the current overshooting of the central bank’s 2% inflation target.
“It’s really tariffs that are causing most of the inflation overshoot,” Powell said, while emphasizing that the central bank expects the tariffs to represent a “one-time” increase in prices.
“Our job is to make sure that it is,” he added.
Powell also declined to weigh in on a reporter’s question over the impacts of a potential Supreme Court decision striking down Trump’s most sweeping tariffs.
Read our live blog for the latest updates and analysis on the Fed.
China must fix economic imbalances as trade surplus hits $1T: IMF
Bloomberg News:
Read more here.
US farmers say Trump’s $12 billion aid package won’t cover losses
US farmers have said they need more than a $12 billion aid package to fully offset the low crop prices and lost export opportunities resulting from President Trump’s trade war.
Trump introduced the aid package for farmers this week, with the industry welcoming the support, saying it would help them prepare for the next planting season. However, the industry suggested that it is a fraction of farm losses and will not rescue the flagging farm economy.
US farmers have faced steep losses this year due to Trump’s tariffs, saddled with low crop prices and higher costs for labor and inputs, such as fertilizers and seeds, and coupled with the decline in exports of crops like soybeans, which have dropped due to Trump’s trade dispute with China.
Reuters reports:
Read more here.
How China Inc is marching into Vietnam amid US tariffs
Reuters reports:
Read more here.
US-Indonesia trade deal at risk of collapse
The trade deal between the US and Indonesia is in danger of collapsing, The Financial Times reported Wednesday, citing people familiar with the matter. US officials have grown increasingly frustrated at what they view as Jakarta reneging on the terms of the agreement reached in July.
The trade deal states that Indonesian goods will face a US tariff rate of 19%. Indonesia will also eliminate tariff barriers on over 99% of US products exported to Indonesia across sectors such as agriculture, health products, seafood, and technology.
However, the report said that Jakarta is slow to implement the deal.
The FT reports:
Read more here.
Trump says his farm bailout ‘would not be possible without tariffs.’ His critics agree.
Yahoo Finance’s Ben Werschkul reports:
Read more here.
Trump suggests he may cut ‘some’ additional tariffs amid affordability push
President Trump defended his sweeping tariff policies, but suggested in an interview on Tuesday that he may allow for “some” additional carveouts after moves to slash duties on goods that were surging in price.
In an interview with Politico, Trump was asked whether he’d consider cutting tariffs on other consumer staples. In recent weeks, his administration has slashed duties on coffee, beef, and bananas, in a bid to address Americans’ concerns over price pressures.
Trump said he would “on some, and on some I’ll increase tariffs.” He said the breaks he approved recently amid a voter outcry against elevated prices on groceries in particular were “very small carveouts.”
“It’s not a big deal,” he said.
See the full interview here.
Trump’s tariffs are not reducing the trade deficit
One of the key questions being asked is whether President Trump’s tariffs are helping to close the trade deficit. For the FT’s senior trade writer Alan Beattie, the answer is no.
The FT reports:
Read more here.
Chinese premier cites damage from US tariffs, as China’s surplus surpasses $1T
China’s Premier Li Qiang said on Tuesday that tariffs have dealt a “severe blow” to global economies. These latest remarks from Beijing come as China’s trade surplus surged past $1 trillion.
The AP reports:
Read more here.
Trump approves Nvidia H200 chips for sale to China
Nvidia (NVDA) has been given the go-ahead from President Trump to sell some of its more powerful H200 chips to China.
Yahoo Finance tech editor Daniel Howley reports on the latest developments surrounding Nvidia’s chip sales to China.
Read more here.
Trump eyes tariffs over Canadian fertilizer, Indian rice
Bloomberg News reports:
Read more here.
Trump threatens Mexico with 5% tariff increase over water dispute
President Trump threatened Mexico on Monday with an additional 5% tariff over what he calls unfair treatment of American farmers.
Trump posted on Truth Social, saying that Mexico is violating its water treaty with the US and hurting Texas farmers’ ability to nourish their crops and livestock.
“As of now, Mexico is not responding, and it is very unfair to our U.S. Farmers who deserve this much-needed water,” Trump posted Monday. “That is why I have authorized documentation to impose a 5% Tariff on Mexico if this water isn’t released, IMMEDIATELY.”
The treaty Trump is referring to is the Utilization of Waters of the Colorado and Tijuana Rivers and of the Rio Grande, signed in 1944.
This 5% tariff would apparently come in addition to the 25% duties that Trump imposed on Mexico this year. Most Mexican goods, however, come to the US with smaller or no duties under the free-trade agreement between the countries.
Bloomberg reports:
Read more here.
US, India seek to reset ties as trade deal remains elusive
Hints that the US and India are on the verge of restarting trade talks emerged on Monday as two separate US delegations arrived in New Delhi this week to hold discussions with their Indian counterparts.
Bloomberg News reports:
Read more here.
Lawmakers in Mexico consider hiking tariffs on goods from China and other Asian countries
With the US-China trade war continuing apace, the Mexican government will debate tariffs of its own this week, as it considers a proposal before the legislative assembly to raise tariffs on products from China and other Asian countries — including South Korea, Thailand and India — by as much as 50%, Reuters reports.
Cars, textiles, clothing, plastics and steel are among the products coming into Mexico that may see new or higher levies if the bill were to pass.
Along with China, Mexican business groups strongly oppose such legislation. But there is a sense of urgency to pass the bill before the end of the congressional session on Dec. 15.
Read more here.
Trump unveils $12 billion aid package for farmers struggling with tariff impacts
President Trump unveiled a $12 billion farm aid package aimed at helping American farmers who have been hard hit by the ongoing trade war with China, which has left them dealing with higher costs and difficulties selling their crops.
As the Associated Press reports, many farmers are Trump supporters, at least when it comes to his politics. However, the fluctuating tariff rates Trump has implemented leave farmers who raise cattle and grow crops such as corn, cotton, sorghum, rice, wheat, and potatoes, s especially those who grow soybeans, struggling to keep up.
Read more here.
To help farmers, Trump wants to loosen environmental constraints on tractor manufacturing
As he unveiled s $12 billion aid package to provide relief to American farmers on Monday, President Trump admonished farm equipment-makers to lower their prices on tractors.
He blamed “environmental restrictions” for driving up costs, and said companies like Deere & Co. would be allowed to forgo such regulations, according to Bloomberg.
“They’re going to have to reduce their prices because farming equipment has gotten too expensive, and a lot of the reason is because they put these environmental excesses on the equipment, which don’t do a damn thing except make it complicated,” the president said.
Bloomberg reports:
Read more here.
Companies prepare — as best they can — for possible tariff refunds
Companies are lining up and preparing for a tariff refund should the US Supreme Court force the Trump administration to refund billions in tariff revenue.
Some retailers, like Costco (COST) are suing the Trump administration in order to secure their future eligibility for refunds. But there is still uncertainty about whether the Supreme Court’s decision will invalidate Trump’s tariffs.
Yahoo Finance’s Washington Correspondent Ben Werschkul looks at the latest developments within Trump’s tariffs.
Read more here.
UK trade minister to visit US this week for talks on tariffs
Reuters reports that the UK’s trade minister will visit the United States this week to follow up on trade talks after the two countries signed a deal to eliminate tariffs on UK pharmaceuticals in exchange for the UK to reform its drug pricing scheme.
From Reuters:
Read more here.
Japan revises economic data to show bigger contraction in July-September period
Japan’s economy shrank 2.3% in the July-September period, according to data from the government. This contraction was partly due to exports suffering due to the impact of President Trump’s tariffs and a fall in public investments.
The AP reports:
Read more here.
Trump orders probe of food industries for possible price fixing
Bloomberg News reports:
Read more here.
China’s trade surplus tops $1T for first time
China’s trade surplus in goods exceeded $1 trillion for the first time this year, indicating that it exported significantly more goods to other countries than it imported. Its US shipments, however, dropped 29% amid the trade war between the US and China.
In November, China’s overall exports were 5.9% higher than in the same month in 2024, at $330.3 billion, exceeding economists’ estimates. It was also an improvement from a 1.1% contraction in October. This latest data only highlights the widening gap between the country’s exports and imports.
In the first 11 months of the year, China’s trade surplus was $1.076T, according to data released by Beijing’s customs administration. The record surplus comes in the wake of a deescalation in trade tensions between the US and China, which resulted in a one-year truce being agreed in October.
But China’s export success has drawn criticism from trading partners, such as France, with President EMacron pointing to “unbearable” imbalances on a visit to the country last week.
The AP reports:
Read more here.
China’s November exports expected to have rebounded off US tariff truce
China’s exports are likely to have returned to growth in November, following a dip in October. Manufacturers rushed to move inventory to take advantage of the one-year trade truce with the US.
Reuters reports:
Read more here.
IKEA to ramp up US production as tariffs bite
Reuters reports:
Read more here.
China hints it might be easing export limits on rare earths
China signalled on Thursday that it might be open to relaxing restrictions on rare earth exports, after Beijing introduced curbs which caused turmoil for businesses globally.
“To my knowledge, the Chinese government has promptly authorized all compliant export applications for civilian purposes,” said spokesman He Yadong from the Chinese Ministry of Commerce.
The one-year trade truce reached between President Trump and China’s Xi Jinping last month helped suspend the October restrictions Beijing placed on rare earth materials.
DPA reports:
Read more here.
Trump considering USMCA exit
President Trump is considering withdrawing from the United States-Mexico-Canada Agreement (USMCA), according to a report in Politico on Thursday. US Trade Representative Jamieson Greer told the publication that Trump may decide next year to withdraw from the USMCA.
The USMCA is a free trade agreement, and its main function is to allow most products that meet its primary rules of origin to be traded between the US, Canada, and Mexico largely duty-free.
The agreement this year has taken much of the bite out of Trump’s warnings toward Canada and Mexico, as only certain goods face the hefty tariffs the president has imposed or threatened on the US’s neighbors.
Politico reports:
Read more here.
Trump praises Nvidia CEO Jensen Huang after discussion about export controls
President Trump praised Nvidia’s (NVDA) CEO, Jensen Huang, on Wednesday and said the executive was aware of where he stood regarding export controls on Nvidia AI chips.
Trump called Huang a “smart man” when questioned about the meeting. The US president also added that he made clear to Huang his views on export controls and the types of chips that the company is allowed to give to China.
Reuters reports:
Read more here.
Ahead of tariff ruling, businesses race to secure refunds
Businesses across the US are lining up for tariff refunds and betting that the US Supreme Court will rule against President Trump’s tariffs, as they believe Trump will be forced to repay billions of dollars collected on imports.
From Costco (COST) to Bumble Bee Foods, several companies have hired lawyers and filed claims to the US government in the hope that they will receive a payout if Trump’s tariffs are struck down.
The Supreme Court has yet to rule, but it seems companies are waiting in the wings to see if the verdict goes against Trump’s flagship tariffs.
The New York Times reports:
Read more here.
Bessent: China is on track to meet “every part” of trade deal
US Treasury Secretary Scott Bessent said on Wednesday that China is on track to meet “every part” of the trade agreement reached last month between Washington and Beijing.
Reuters reports:
Read more here.
Swiss may need to get used to US tariffs: Swiss official
Switzerland may need to get used to US tariffs despite securing a deal last month with President Trump, according to a top Swiss trade negotiator.
Reuters reports:
Read more here.
Global goods trade slows as tariff frontrunning ends: WTO
Data from the World Trade Organization (WTO) indicate that the global goods trade slowed in the last quarter. The data found that the boost seen earlier this year from front-loading of orders ahead of US tariffs faded.
Bloomberg News reports:
Read more here.
China can still meet ambitious US soybean pledge, traders say
China is expected to increase its US soybean purchases to meet its promise to buy at least 12 million tons by the end of the year, according to multiple traders. The belief underscores a wider market hope that, at least when it comes to agriculture, the trade truce between the US and China will hold.
Bloomberg News reports:
Read more here.
US growth forecast upgraded for 2025: OECD
The world economy has shown itself to be resilient in the face of President Trump’s tariffs, according to data released on Tuesday from the Organization for Economic Cooperation and Development.
The OECD upgraded its outlook for global and US economic growth this year and now forecasts that the world economy will grow 3.2% this year, down slightly from 3.3% in 2024 but a big improvement on the 2.9% it predicted in June.
Its economic forecast for US growth this year has risen to 2% up from its 1.6% June forecast.
The AP reports:
Read more here.
Cyber Monday US spending growth trails Europe amid tariffs
US Cyber Monday spending slowed in comparison to Europe, according to data released by Salesforce (CRM). This is seen as a new phenomenon and reflects the impact of President Trump’s trade war on consumer spending.
While global online spending, primarily from Europe, increased 5.3% as of 12 p.m. ET compared to the same period a year ago, US spending rose by only 2.6%. Salesforce, which tracks the transactions of 1.5 billion consumers, said global Black Friday sales grew twice as fast as those in the US.
Trump has said that he plans to take action to help US consumers feeling the pinch due to tariffs, such as cutting income tax due to the revenue from tariffs, alongside providing Americans with a $2,000 tariff “dividend” check.
Bloomberg News reports:
Read more here.
US Commerce chief confirms South Korea’s 15% tariff rate retroactive to November 1
US Commerce Secretary Howard Lutnick has confirmed that the tariff rate on imports from South Korea, which include autos, will drop to 15% retroactive to Nov. 1.
The announcement from Lutnick came on Monday, following South Korea’s implementation of the country’s US investment commitments.
Reuters reports:
Read more here.
US announces zero tariff pharmaceutical deal with Britain
The US announced a major deal on Monday to secure zero tariffs on British pharmaceutical imports and medical device technology in return for Britain spending more on medicines and overhauling how it values drugs.
Under the new deal, the UK will raise the net price it pays for new US medicines by 25%. In return, UK-made drugs and medical devices will be exempt from Section 232 sectoral tariffs and any future Section 301 country tariffs.
Reuters reports:
UK CHANGES SYSTEM FOR ASSESSING IF DRUGS ARE COST-EFFECTIVE
Read more here.
US manufacturing stuck in doldrums as tariff headwinds persist
Reuters reports:
Read more here.
US-UK ready to agree on zero tariffs on pharmaceuticals
The US and UK are ready to agree on a trade deal that would equal zero import tariffs on UK pharmaceutical products into the US.
Reuters reports:
Read more here.
Asia’s factories stumble as US trade deals fail to revive demand
Bloomberg reports:
Read more here.
Taiwan in negotiation for a drop in tariff rate from 20% to 15%
Reuters reports:
Read more here.
China demands Malaysia, Cambodia clarify US trade deals
Bloomberg News reports:
Read more here.
The hot air of Trump’s tariffs is approaching a ceiling of cold reality
It wasn’t so long ago that a social media post from President Trump would cause a flurry of excitement among multinational companies, the media, and foreign governments. However, things may have changed. Markets and investors are no longer fazed by Trump’s aggressive tariffs, according to the FT’s senior trade writer Alan Beattie.
The FT reports:
Read more here.
EU members seek safeguards in US tariff deal to protect industry
Reuters reports:
Read more here.
Trump says he may cut income tax ‘completely’ because of tariff income
President Trump said on Thursday that his administration may be in a position over the next two years to slash income tax due to the revenue generated from tariffs.
The US president made the statement on a Thanksgiving video call to US military service members.
This latest move from Trump follows the idea floated in recent weeks of a tariff “dividend” for Americans in the form of a $2,000 check. It also comes on the heels of electoral wins for Democrats across several key state and local races, where candidates stressed affordability concerns.
Trump himself has said previously that the American people are “paying something” for tariffs.
