TRADE UPDATE

Food & Agriculture
May 20, 2025

By Kristy Goodfellow, Vice President of Trade and Industry Affairs

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HIGHLIGHTS

  • Tariffs and Bilateral Negotiations: President Donald Trump says the Administration will be “telling people what they’ll be paying to do business in the United States” in the coming weeks. According to Trump, 150 countries are interested in negotiating, but the Administration has limited capacity to meet with this many countries.
  • Congress: On May 14, the U.S. Senate Committee on Finance held a full committee hearing on trade in critical supply chains, which included discussion on food and agriculture supply chains.
  • USDA: Agriculture Secretary Brooke Rollins traveled to the United Kingdom — her first international trip as USDA leader.
  • WTO: The World Trade Organization issued its April 2025 Global Trade Outlook and Statistics, estimating volumes of world merchandise trade will decline by 0.2% in 2025 and increase 2.5% in 2026, emphasizing the role of trade policy uncertainty.

“But make no mistake, American soybean farmers do stand at the edge of a cliff — and will suffer if tariffs are not replaced with trade agreements that reduce tariffs before our harvest this fall.”

—Caleb Ragland, President of the American Soybean Association, during a May 14 Senate Finance hearing

Tariffs and Bilateral Negotiations

  • The Trump Administration continues its bilateral negotiations with countries in response to reciprocal tariffs as the end of the 90-day “pause” – which will expire July 15 – approaches.
  • Meanwhile, on Friday, President Donald Trump reported 150 countries “want to make a deal,” but indicated his Administration cannot negotiate that many agreements. 
  • Trump said letters would be delivered in the next 2-3 weeks “telling people what they’ll be paying to do business in the United States.”

Congress

TRADE HEARING

  • On May 14, the Senate Finance Committee held a full committee hearing on trade in critical supply chains, which included discussion on food and agriculture supply chains.
  • At the hearing, American Soybean Association President Caleb Ragland commented on the recent tariff de-escalation between the United States and China, saying “While this reduction is a step in the right direction, U.S. soybeans are still facing a duty into our largest export market nearly as high as the one imposed at the height of the 2018 trade war.”
  • Ragland also noted the threat of tariff retaliation from the European Union.
  • The opening statement by panel Chair Mike Crapo (R-ID) focused on threats to U.S. supply chains posed by China.
  • Opening comments from committee Ranking Member Ron Wyden (D-OR) included a broader critique of the Trump Administration’s trade policy actions. “Our country is stuck in an endless cycle that Trump has no idea how to escape. He makes big threats, imposes massive tariffs, then – after there’s enough outcry from American farmers, investors, and families – he caves in and then starts the chaos all over again, having accomplished nothing except destroying America’s credibility.”

USDA

SECRETARY ROLLINS TRAVELS TO THE UK

  • Agriculture Secretary Brooke Rollins traveled to the United Kingdom last week — her first international trip as USDA’s leader. 
  • In a USDA release following her trip, Rollins reported meetings with U.S. Ambassador to the UK, U.S. and UK industry leaders, representatives in Parliament, the UK’s top trade advisor, Department of Energy Security leadership, and the Prime Minister’s Special Advisor on Business and Investment, among others.
  • Rollins discussed U.S. beef exports to the UK with representatives in Parliament. Her press statement noted her encouragement for the UK to provide its consumers with choices and emphasized the safety and nutritional quality of U.S. beef. This follows an agreement for improved market access for U.S. beef, announced as part of the May 8 U.S.-UK Economic Prosperity Deal.

World Trade Organization

  • The WTO issued its April 2025 Global Trade Outlook and Statistics, noting “the outlook for global trade has deteriorated sharply due to a surge in tariffs and trade policy uncertainty.”
  • The report estimates volumes of world merchandise trade will decline by 0.2% in 2025 and increase 2.5% in 2026.
  • The report indicates growth of trade in agricultural products and food products (by value) at 3% in 2024, compared with -1% and 1% in 2023, respectively.