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The administration of US President Donald Trump announced on Tuesday that it would roll out a three-part, US$12 billion plan to offset the effects of retaliatory tariffs imposed by China and other countries on American agricultural products, according to US Secretary of Agriculture Sonny Perdue.

President Trump is scheduled to hold talk in Washington on July 25 with President of the European Commission Jean Claude Juncker. According to the Wall Street Journal, South Dakota Senator Mike Rounds, a Republican, asked: "At what point do we start seeing things move out of the chaotic state they are in now and to where we actually see new trade agreements?"

Meanwhile, Tarun Arora of India-based importer IG International said he expected the 25% tariff rise on US apples due to be implemented on August 4 to lead to a dramatic drop in volumes to what has this year become Washington State's number-two market. "Either a country which has treated the United States unfairly on Trade negotiates a fair deal, or it gets hit with Tariffs", Mr. Trump wrote.

Retaliatory tariffs on goods such soybeans, pork, beef and bourbon have hit farmers' and others' bottom lines in Wisconsin, North Carolina, Ohio, Iowa and Kentucky.

The European Commission's trade commissioner, Cecilia Malmstrom, said she was drawing up a $20 billion list of US goods to hit with retaliatory duties should Washington impose tariffs on imported cares.

It involves direct payments to farmers, the purchase of excess food and trade promotion programs to help create new export markets.

Chinese President Xi Jinping said at an global summit in South Africa that the world faces "a choice between cooperation and confrontation", in remarks that criticized escalating USA tariffs on goods from China and other major trading partners.

The plan comes as Trump speaks at the Veterans of Foreign Wars national convention in Kansas City in the heart of the nation's farm country. "President Trump must find a way out of this mess so that Iowa's farmers and manufacturers are no longer targets of this trade war." .

Congressional Republicans are expressing deep skepticism of Trump administration's plan to bail out farms hit by tariffs, saying farmers want free trade, not handouts. This is, I think, economic terrorism in a way.

"Absolutely farmers want trade", he said.

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This will help producers of soy, sorghum, corn, wheat, pork, dairy, fruit, rice and nuts, all products hit by tariffs imposed in response to United States actions.

Many US farm states vote Republican, but Republican candidates in looming congressional elections are anxious about their electoral chances, so the Trump administration has offered farmers a package worth nearly $NZ18 billion.

"We're already hearing complaints now from companies, so by the time we get to the midterms, you're going to be hearing governors, mayors, Congress complaining about jobs, about cost increases, about problems", Carlos Gutierrez, the former Commerce secretary under President George W. Bush, told POLITICO.

Ryan's remarks came a couple hours after Trump tweeted that "Tariffs are the greatest!" and threatened to impose additional penalties on US trading partners.

Pennsylvania farmers greeted the Trump Administration's announcement Tuesday of $12 billion in emergency aid to agriculture with mixed emotions.

Sen. Ben Sasse, R-Neb., agreed, calling the aid "trade-war bailouts". "It means that they are competitive", Mr. Trump told Glor.

He says he'd prefer there be no tariffs or barriers at all.

"The European Union is coming to Washington tomorrow to negotiate a deal on Trade".

Since discussion of a tit-for-tat exchange of tariffs between the U.S. and China became serious in late May, U.S. soy prices have dropped more than $2 per bushel.