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Trump’s Thursday visit to Iowa spurs early fireworks in soybeans... President Donald Trump is scheduled to visit Iowa on Thursday, with a major evening event at the Iowa State Fairgrounds in Des Moines.
- Trump has publicly stated he will address farmers directly during his Iowa visit and has hinted that he will share “good news” for them, particularly regarding trade policy and support for agriculture.
- He is expected to discuss his administration’s actions on trade, especially as they relate to farmers and has promised that attendees “are going to be very happy” with what he announces.
- The visit comes amid ongoing debate over Trump’s tariff policies. While some Iowa farmers and business owners have raised concerns about new global tariffs increasing costs, certain segments — such as the pork industry — have reported increased profits despite fears of trade wars.
- Polls indicate a divided agricultural sector: while tariffs have caused uncertainty and financial strain for many, a significant portion of producers believe the long-term effect will be positive if tariffs result in better trade deals and guaranteed export demand, especially with China.
Rumors Trump could report progress on a trade pact with China fueled strong gains in soybeans today.
Ag a key part of U.S., Vietnam trade deal... President Donald Trump announced a new U.S./Vietnam trade agreement just days before a July 9 deadline that threatened to impose steep new tariffs on Vietnamese imports. A 20% tariff will be imposed on Vietnamese exports to the U.S.; a 40% levy on goods deemed to be transshipped through the country. The deal is the third major trade pact secured by the Trump administration in recent weeks — following agreements with the UK and China.
Vietnam will lower tariffs on U.S. goods, expand purchases of American agriculture and energy products and ease non-tariff barriers. The outcome delivers immediate relief for Vietnam’s export-driven economy while reinforcing the Trump administration’s aggressive use of tariff leverage to secure U.S. trade objectives.
In exchange for averting the tariff hike, Vietnam has reportedly agreed to:
- No tariffs on U.S. goods.
- Increased purchases of American agricultural and energy products, including a proposed $2 billion in new imports.
- Tighten controls on transshipment and reduce reliance on Chinese technology in its exports.
- Remove non-tariff barriers on U.S. products such as agricultural machinery, medical devices and aircraft.
Besides Vietnam, the U.S. is close to a deal with India, while the EU’s top trade official is in Washington for talks (see next item). Talks are also ongoing with Japan and other countries.
EU trade commissioner in Washington to counter U.S. tariff threat... European Union Trade Commissioner Maroš Šefčovič is in Washington this week with a critical mission: secure a breakthrough to prevent the U.S. from imposing sweeping new tariffs — potentially up to 50% — on nearly all EU exports before President Donald Trump’s July 9 deadline.
EU’s negotiation strategy:
- Immediate tariff relief sought: The EU is demanding upfront relief for key sectors such as automobiles, steel, and aluminum. Automobiles remain a “red line” for Brussels, which is pushing back against U.S. efforts to bolster domestic manufacturing at Europe’s expense.
- Willingness to compromise: EU diplomats indicate Brussels is open to accepting a 10% baseline tariff on goods if Washington agrees to reduce or eliminate tariffs for the most sensitive sectors. This marks a shift from the EU’s earlier stance.
- Political understanding, not a full deal: With time running short, negotiators are focusing on reaching a headline “political understanding” to pave the way for future, more detailed sector-by-sector trade talks, rather than a comprehensive agreement now.
- Threat of EU retaliation: If the U.S. does not provide immediate tariff relief, the EU is preparing new countermeasures that could target up to $102 billion (€95 billion) in U.S. products, besides a previously suspended $22.6 billion (€21 billion) list.
- Diverging member state views: While Germany and Italy appear open to a 10% tariff compromise, France and Ireland remain skeptical and are insisting on strict reciprocity from the U.S.
President Trump has delayed the new tariff hikes to allow for negotiations but warns that countries failing to reach an agreement will face the full increase. The EU’s negotiating team is under mounting pressure to secure at least a provisional deal, as failure could trigger a major escalation in transatlantic trade tensions.
Trump administration officially moves to rescind Biden-era H-2A worker protections... The Trump administration has published a proposed rule to rescind a Biden-era regulation that expanded protections for temporary foreign agricultural workers under the H-2A visa program. The administration argues the previous rule imposed “unnecessary, burdensome, and costly requirements on employers,” including substantial new obligations related to the material terms and conditions offered to H-2A workers — obligations that are not typically required for other U.S. workers.
Trump officials had already announced they would stop enforcing the contested provisions and now, with the proposed rule’s publication, have formally initiated the process to eliminate the regulation. The administration’s justification also references several District Court rulings that found the Biden-era rule exceeded the Department of Labor’s statutory authority.
Public comments on the proposed rescission are due by Sept. 2.
CEA Alliance hires Torrey Advisory Group to push for H-2A visa expansion... The Controlled Environment Agriculture Alliance (CEA Alliance), representing vertical farms and greenhouse producers, has enlisted the Torrey Advisory Group, a prominent lobbying firm specializing in food and agriculture policy, to lobby for expanding the H-2A visa program in Congress. This move comes amid growing labor shortages in the indoor agriculture industry, where a stable workforce is critical for year-round fruit and vegetable production in controlled settings.
The H-2A program, designed to help U.S. agricultural employers hire temporary foreign workers when local labor is unavailable, is seen as complex and costly. Participation has grown in recent years as domestic labor shortages persist. Employers must prove the lack of U.S. workers, pay prevailing wages, cover transportation, and provide free housing for H-2A workers.
CEA Alliance’s engagement with Torrey Advisory Group coincides with ongoing congressional efforts to reform the H-2A program. A bipartisan working group in the House Ag Committee is considering ways to streamline the application process, expand eligibility and address wage issues, though final immigration policy decisions rest with the Judiciary Committee.