12 Billion USD Farm Aid Highlights Trade Policy Failure : US Media
Los Angeles, Dec 29: Former US President Donald Trump’s aggressive tariff-driven trade policies are once again under scrutiny, with critics describing them as economically damaging and self-defeating, particularly for American farmers and consumers who have borne the brunt of prolonged trade conflicts.
A recent editorial published by the Southern California News Group (SCNG) has strongly criticised the Trump administration’s trade strategy, describing the recently announced $12 billion assistance package for American farmers as clear evidence of policy failure driven by tariff disputes.
Authored by the SCNG Editorial Board, the commentary begins by challenging the administration’s narrative on trade, asking why such a massive financial relief was necessary if President Donald Trump’s tariff regime and trade confrontations were truly beneficial to the US economy.
The editorial argues that tariffs and the trade conflicts they trigger have historically proven harmful rather than helpful to economic stability. It asserts that tariffs effectively function as extra taxes imposed on American consumers, adding financial strain instead of generating economic gains.
According to the opinion piece, the administration’s assumptions about tariffs are deeply misguided, while its view of global trade is portrayed as outdated. The editorial notes that in an era of globalised markets, tariffs no longer serve as a meaningful source of federal revenue.
The article cites Jay Shambaugh of the Brookings Institution, who cautioned that prolonged trade wars could have severe consequences for the United States. Shambaugh warned that consumers would bear higher costs, leading companies could suffer setbacks, economic growth might slow, and international relationships could weaken.
The SCNG editorial further describes the $12 billion farm aid for farmers as an inequitable solution that attempts to conceal problems created by the administration’s own trade decisions.
It also questions the logic behind addressing damage caused by self-imposed policies, highlighting that a large portion of the funds is earmarked for producers of “row crops” such as soybeans. These crops, the editorial notes, previously enjoyed stable export markets before the trade disputes were initiated, according to a report by Xinhua news agency.
The commentary adds that the relief package will not adequately support all segments of the struggling agricultural sector.
As an example, it cites tractor manufacturing giant John Deere, which has projected losses of around $600 million in 2025 due to tariffs.
The Southern California News Group (SCNG) operates as a consortium of regional daily newspapers, publishing 11 newspapers across five counties in the greater Los Angeles area, and is considered a significant voice in regional journalism. (Edited)