By: NATHAN STUEDLE
The growing trade dispute between the United States and Canada is creating new concerns for American agriculture. Canada imposed tariffs Tuesday ranging from 15 to 50 percent on more than 27-billion dollars worth of U.S. products. The list includes agricultural equipment, dairy products, steel, aluminum and other goods. The action follows new U.S. tariffs on Canadian products. President Trump has responded with restrictions on certain Canadian dairy products and has directed federal agencies to begin removing Canadian goods from government purchasing programs.
For American farmers, the dispute cuts both ways. Canada is a major customer for U.S. agricultural products, while American producers depend heavily on Canadian fertilizer, machinery and other farm inputs. That means an extended trade fight could potentially hurt export demand while also increasing production costs. Agricultural organizations and farm-state lawmakers are now watching for signs Washington and Ottawa could return to negotiations.