President Trump threatens Colombia with 25% tariffs over migrant flights

There has been a big development in President Trump’s deportation plan, and it could sent ripples through the corn markets today.

Over the weekend, Colombia’s president released several flights with illegal migrants on board out of the United States. They argued migrants were not criminals, and the U.S. violated their rights.

President Trump responded with plans for 25 percent tariffs on the country, a major receiver of U.S. ag supplies, and those tariffs would increase to 50 percent after a week. However, Colombia’s president said he would accept the flights, so the tariffs have been called off.

Colombia is a major trade partner with the U.S. as they import more than a billion dollars of U.S. corn each year, making them the fourth largest export market. They are also a big provider of coffee and fresh cut flowers to the U.S.

A free trade agreement has been in place between the U.S. and Colombia since 2012, but the U.S. has the right to take action if there is a national security threat.

Related Stories
Lower shipping costs alone will not restore export competitiveness.
Rising fuel costs will soon increase grain transportation expenses.
The USDA’s upcoming reports will drop on Tuesday afternoon, giving the trade real results on acreage shifts, drought concerns, and ongoing trade tensions, adding uncertainty for U.S. farmers.
South Texas farmers face worsening drought as Mexico falls short on water payments, leaving producers struggling for irrigation under the 1944 treaty.
Expanded access could boost demand for U.S. exports.
Exports depend more on demand than currency shifts.

LATEST STORIES BY THIS AUTHOR:

The Senate failed to pass a continuing resolution that had been approved by the House the previous week. They could take it up again today, but it would take seven democrats to end the stalemate.
The USDA is working with 14 different states, including Georgia, to develop and implement block grants to address the unique disaster recovery needs for each state.
The decline in production marks the second consecutive year of contraction in the U.S. turkey industry.
“Those could’ve easily been our beans going over there. It goes to show that if that opportunity is there, China would be willing to buy.”
We caught up with Karen Braun, Chief Market Analyst at Zaner Ag Hedge, at the Women in Agribusiness to discuss the data behind commodity trading.