US President Donald Trump on Monday signalled that his administration may introduce new tariffs on agricultural imports, specifically Indian rice and fertiliser sourced from Canada. His comments came during
a meeting at the White House, where he also announced a USD 12 billion support package for American farmers facing mounting economic pressures.
The remarks highlight a growing frustration within the Trump administration as trade discussions with both India and Canada continue without any meaningful progress. Trump suggested that tougher measures may now be necessary to shield American producers from increasing competition.
‘Dumping’ allegations against Indian rice
During the meeting, Trump reiterated concerns raised by US rice farmers, who claim that imports from India, Vietnam and Thailand have depressed domestic prices. The president said he was determined to address what he described as “dumping” of foreign rice onto the American market.
“They shouldn’t be dumping,” he said. “I heard that from others. You can’t do that.” Farmers have argued that cheaper imported rice has eroded their market share at a time when production costs are rising and overseas opportunities remain limited.
Trump said he would “take care” of the matter, hinting strongly that tariffs could be used as a tool unless India agrees to review its export practices.
Canadian fertiliser
The president also spoke about the high volume of fertiliser imported from Canada, suggesting that new duties may also be introduced in this sector. He argued that imposing tariffs could help encourage more domestic manufacturing.
“A lot of it does come in from Canada, and so we’ll end up putting very severe tariffs on that, if we have to,” he said. “That’s the way you want to bolster here. And we can do it here.”
Trump has repeatedly expressed concern that dependency on imported agricultural inputs undermines the country’s broader economic goals, especially at a time when inflation and rising consumer prices remain politically sensitive issues.
Farmers facing mounting pressures
American farmers, one of Trump’s most loyal constituencies, have been navigating fluctuating markets and higher costs partly linked to previous tariff decisions. The USD 12 billion package unveiled on Monday is aimed at providing immediate relief, but the uncertainty surrounding future trade measures continues to weigh heavily on the sector.
For many producers, imported rice and fertiliser underscore broader anxieties about competition and supply chains in a tense economic environment.
Ongoing trade negotiations with India and Canada
Trade talks with India and Canada have struggled to achieve major breakthroughs. Earlier this year, the US imposed 50% tariffs on several Indian products, criticising New Delhi’s trade barriers and its imports of energy from other suppliers. A US delegation is expected to visit India this week, though officials are not expecting significant progress.
Relations with Canada have also been strained. Trump has previously threatened higher tariffs on goods outside the scope of the North American trade agreement, even hinting that the deal itself could be reconsidered.
