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New tariffs set to go into effect tomorrow

As the calendar turns to August, new tariffs will go into effect for several countries that haven’t reached trade agreements with the United States.

President Trump is expected to issue a new executive order outlining the details on Thursday.

Trump paused his initial tariff plan so countries could negotiate new deals with the United States, setting a deadline of August 1 before reciprocal tariffs go into effect.

An exemption was issued for Mexico extending its tariff pause another 90 days.

Some countries have already made a deal with the U.S., including the United Kingdom, European Union, Japan, the Philippines, China, Vietnam, Indonesia and South Korea.

Faith Parum, an economist with the American Farm Bureau Federation, says few details are known about what the deals mean for U.S. agriculture.

“I think we’ll continue to get more and more details about how the two countries that agree to something will implement it. Historically, trade deals have taken a long time, because they’re very detail oriented.”

Kent Bacus with the National Cattlemen’s Beef Association says when it comes to South Korea…

“We want to see the 30-month restriction lifted so we can continue to sell a lot of beef.”

The next tariff deadline is August 12 with China, a top buyer of U.S. ag products. 

“They’ve currently negotiated a pause for the majority of tariffs we saw in the spring,” she says. “If that conflict is renewed or there’s any flare ups, it could hurt the U.S. economy and farmers,” says Parum.

Parum says opening new markets for U.S. agriculture is important, because more than 20 percent of the ag products grown in the United States is sold overseas.