WTO Tariff Disputes Raise Risks For U.S. Agriculture

Higher tariffs may shield some U.S. crops but risk retaliation, lost markets, and higher costs for growers. The WTO disputes highlight the fragile balance between trade policy, farm exports, and input supply chains.

World Dairy Expo

GENEVA, SWITZERLAND (RFD-TV)— Global farm trade is bracing for fallout as higher U.S. tariffs trigger new disputes at the World Trade Organization. Brazil formally requested consultations with the U.S. on August 11, following earlier actions by Canada and China.

The moves come as Washington reimposed an additional 10 percent duty on imports from all trading partners, with higher rates on about 70 products, including key agricultural goods.

Soybeans, rice, fruits, and vegetables are among the most exposed sectors. China has yet to make significant new U.S. soybean purchases, while Canada’s consumers are shifting away from U.S. rice. Fruit exporters from South Africa and Chile warn that higher U.S. barriers could leave millions of cartons of citrus, cherries, and blueberries unsold.

Analysts note that input costs for farm machinery, chemicals, and other supplies could also rise as tariffs extend to equipment and imports critical for production.

Tony’s Farm-Level Takeaway: Higher tariffs may shield some U.S. crops but risk retaliation, lost markets, and higher costs for growers. The WTO disputes highlight the fragile balance between trade policy, farm exports, and input supply chains.
Related Stories
“A government shutdown impacts all Americans and has serious consequences, including for farmers. It just adds additional uncertainty, disrupts critical services.”
Agricultural exports continue to be a key contributor to rural employment. However, rural businesses still struggle to fill numerous job openings.
Dave Kestel, a farmer from Will County and member of the Illinois Farm Bureau, joins us to share a boots-on-the-ground update on the 2025 corn harvest.
Treasury Secretary Scott Bessent stated this week that the government will intervene to help, following China’s withdrawal from the U.S. soybean market. One trader says the industry will remain in a holding pattern until Tuesday.
University of Illinois Ag Economist Gary Schnitker says early projections indicate soybeans will be more profitable than corn in 2026.
In a final rule published in the Federal Register, the Department states that it will no longer base wage rates on the Farm Labor Survey.

Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

LATEST STORIES BY THIS AUTHOR:

The USDA’s August Cold Storage report shows shifting stock levels across major dairy, meat, and poultry products.
The total value of the U.S. potato crop was $4.60 billion in 2024, representing an 8% decrease from the previous year.
Crop-specific shifts and strong prices highlight the variability of this year’s fruit and tree nut harvest, according to USDA data.
The decline in production marks the second consecutive year of contraction in the U.S. turkey industry.
The USDA noted that peanut edible utilization season-to-date is down 3% on the year, despite overall stocks increasing.
A booming butterfat market is good for some dairy products but threatens efficiency and margins for cheesemakers unless protein levels catch up