SOUTHFIELD, Mich. (WXYZ) — With so many tariffs going into effect on American imports and vice versa from China and Canada, it's easy to get confused.
How looming tariffs on Canada can affect several Michigan industries, including lumber, dairy & auto
Beijing began imposing tariffs on many farm products from the United States on Monday, and China is our largest overseas market.
It is the latest escalation of a trade fight between the world’s two largest economies. So, what does this mean for our local farmers? It seems the back-and-forth tariff ‘War of the Titans’ is on.
The Chinese government announced new tariffs on farm products, following President Trump's raising tariffs on Chinese products for the second time since taking office.
The Chinese tariffs will include a 15% levy on U.S. products like chicken, wheat, and corn and a 10% levy on soybeans, pork, beef, and fruit.
President Trump is doubling down. He says tariffs on some Canadian and Mexican goods scheduled for April 2, 2025, "could go up."
I called around to at least 20 local farms to get their take on this latest round of tariffs. Nearly all declined to comment, but Dory Hills of Crooked Creek Dairy Farm in Romeo told me by phone that she believes President Trump's actions will benefit American farmers, as will the reciprocal tariffs.
However, some American farmers say they are worried that escalating trade tensions could make it harder to sell their products abroad.
“Everything we produce far exceeds what the domestic market could handle,” said farmer Stan Lundell.
Meanwhile, Canadian Prime Minister Justin Trudeau's newly chosen successor is standing by Canada's retaliation against the US.
Mark Carney, the newly elected leader of the Liberal Party, said, “My government will keep our tariffs until the Americans show us respect.”
I spoke to Tom Cary, a former farmer who now runs the Meridian Township Farmers Market in Okemos, where nearly 35 local farmers sell their goods.
“Part of the message that Donald Trump may not agree, the way to try to support more local businesses within the US and not be so dependent on imports has some merit,” said Tom Cary.
Cary says his farmers will do okay during the trade war because more people may want to support local farmers.
“It makes them more sensitive to things that are imported when people start talking about tariffs, and they can see the market going to be a stable and reliable place for their food,” said Cary.
He says, with a 10% tariff on soybeans, wheat, and corn, the burden would likely fall on large-scale operations designed to raise large numbers of animals for profit.
Local farms that feed cows grass from pasture will not feel the impact of the tariffs because they don't rely on soybeans.
“A lot of our vendors, especially farms, are not going to be immediately affected by some of that because the seeds and the animals and all of the things that are raised locally are kind of insulated,” said Cary.
Cary says it's too early to tell what the long-term effects will be on local farmers because we don't know how long these tariffs will be in place, and we're only three weeks in.
A spokesman for the National People's Congress in China says the president's tariffs have quite disrupted the security and stability of the global industrial and supply chains.
As the trade war continues to unfold, we’ll keep you updated on how these measures affect both international markets and local communities.
