According to reporting from Reuters China, sources who have heard the relevant briefings indicate that the new bailout plan for US farmers will follow the template of last years’ programme. The financial bailout has been earmarked for producers who have been impacted by the US-China trade war. The USDA is expected to prioritise the needs of pork producers and soybean growers.

The ongoing trade war between the two countries has caused billions of dollars in losses and disrupted global financial markets and supply chains. The trade war may have political consequences for the Trump administration, since members of the agricultural sector form part of President Trump’s electoral base.

Reuters’ source for the story stated that the USDA will not pursue an aid strategy that involves purchasing US agricultural goods and then exporting them to low-income countries. This represents a departure from the strategy President Trump had proposed earlier.

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