President Donald Trump on Monday said he authorized a second round of payments from an aid package of up to $12 billion designed to help farmers stung by the U.S. trade war with China, billing it as a promise kept to a key constituency.
"Today I am making good on my promise to defend our Farmers & Ranchers from unjustified trade retaliation by foreign nations," Trump said in a Twitter post.
"I have authorized Secretary Perdue to implement the 2nd round of Market Facilitation Payments," he said, referring to Agriculture Secretary Sonny Perdue.
The USDA in July authorized the aid program for farmers after China imposed a 25 percent tariff on American soybeans in retaliation for U.S. tariffs on Chinese goods. The agency had outlined the first round of payments in late August, and farmers were eagerly awaiting the second round.
An announcement on the second tranche had been expected in early December but was delayed by a tug of war on the issue between the USDA and the White House Office of Management and Budget, which questioned the need for the additional payments given growing expectations that China would resume buying U.S. agriculture products.
Farmers hailed Trump's decision to proceed with the payments. "They are a significant help as we continue to deal with low prices," said Kirk Leeds, chief executive of the Iowa Soybean Association. "It has been a tough year for U.S. soybean farmers."
