President Trump says he plans to impose 30-percent tariffs on products from Mexico and the European Union—as well as a 35-percent tariffs on Canadian goods beginning August 1. One Indiana ag leader says Trump’s overall tariff strategy will be worth it, if it brings about fair and balanced trade.
“I can tell you, unequivocally, that trade has not been fair to the U.S.,” says Ted McKinney, CEO of the National Association of State Departments of Agriculture (NASDA). The Purdue University graduate and native of Tipton County, Indiana, also served as USDA Undersecretary for Trade and Foreign Agricultural Affairs during President Trump’s first administration.
“At some point, somebody has to put their foot down, and the President did in his first term,” says McKinney. “He’s doing it again—now to say ‘enough.’ And by the way, we’re not seeking unfair trade that’s overly beneficial to us. We just want fair trade.”
McKinney says the bumpy ride to bring about trade deals that are more balanced will continue to be a challenge.
“Clearly, negotiations cannot be a highly public thing. So, if they come forward, as we hope they are, and they will, then I think we’re going to be better off recognizing that we’re having this bumpy period, there’s no doubt, and the President told us that. We hope to get past this,” says McKinney.
He adds that Trump administration has been putting a priority on seeking fair trade when it comes to the U.S. ag industry.
“So, that’s starting with a country putting a piece of paper on the desk of the U.S. Trade Representative Jameson Greer, who knows ag pretty well. He has been insistent that it include ag, which oftentimes countries try to avoid, and it must include non-tariff trade barriers, including ag,” says McKinney.
The U.S. ag industry has been in a trade deficit since 2022. In fiscal year 2024, that deficit reached $31.8 billion, according to USDA. The forecast for this fiscal year 2025 is a deficit of $49.5 billion, which would mark the largest ag trade deficit on record.
CLICK BELOW to hear Hoosier Ag Today’s radio news report:
Source: NAFB News Service
