Trump Threatens New Tariffs on Indian Rice and Canadian Fertilizer Amid Stalled Trade Negotiations

US President Donald Trump has announced potential new tariffs targeting rice imports from India and fertilizer from Canada while unveiling a $12 billion farm relief package. The president framed these measures as necessary protection for American farmers, claiming foreign imports are undermining domestic production. This development comes amid ongoing trade negotiations with both countries and highlights continued tensions in agricultural trade relations, particularly regarding market access and alleged dumping practices.

US President Donald Trump has signaled potential new tariffs on agricultural imports, specifically targeting rice from India and fertilizer from Canada, amid stalled trade negotiations with both nations. The announcement came during a White House meeting where Trump unveiled a substantial farm relief package while criticizing agricultural imports from India and other Asian countries.

The Republican president alleged that imports were undermining domestic producers and emphasized his intention to use tariffs aggressively as a protective measure for American farmers. He announced "$12 billion in economic assistance to American farmers," to be funded by tariff revenues collected from trading partners.

"We're really taking in trillions of dollars, if you think about it," Trump stated, adding that countries "took advantage of us like nobody's ever seen."

US President Donald Trump has warned that he may introduce new tariffs on agricultural imports

Trump presented the new assistance as vital for stabilizing the agricultural economy following what he described as inherited inflation and depressed commodity prices. "Farmers are an indispensable national asset, part of the backbone of America," he declared, maintaining that tariff leverage was fundamental to his strategy for revitalizing US agriculture.

India featured prominently during an extensive discussion on rice imports, which a Louisiana producer described as devastating for southern growers.

When informed that Indian companies owned "the two largest brands" in the US retail rice market, Trump responded, "All right, and we'll take care of it. That's great. It's so easy... Tariffs, again, solves the problem in two minutes."

"They shouldn't be dumping... I mean, I heard that, I heard that from others. You can't do that," he continued.

The president also indicated possible tariff measures on fertilizer imports from Canada to encourage domestic production. "A lot of it does come in from Canada, and so we'll end up putting very severe tariffs on that, if we have to, because that's the way you want to bolster here," he stated, adding, "And we can do it here. We can all do that here."

India-US agricultural trade has grown significantly over the past decade, with India exporting basmati, other rice products, spices, and marine goods while importing US almonds, cotton, and pulses. Disputes regarding subsidies, market access, and World Trade Organization complaints—particularly involving rice and sugar—have occasionally created tension in bilateral negotiations.

Source: https://www.ndtv.com/world-news/trump-warns-of-new-tariffs-on-india-says-they-should-not-dump-rice-in-us-9775377