Trump hints at imposing tariffs on Indian rice after US farmers say imports are pushing prices down

The US President Donald Trump administration may soon impose new tariffs on agricultural imports, such as Indian rice, and crop supplements, including Canadian fertiliser. This comes after several farmers complained that these foreign, imported products were undermining the profit margins of US producers, according to a Bloomberg report.

Trump promised US farmers that his government would dig deep into these claims of how foreign countries are bringing in low-priced goods into the US market. This as the president revealed a $12 billion bailout package for these farmers.

Farmers at the launch of this package urged Trump to adopt a tougher stance, arguing that subsidised rice imports are destabilising US markets and lowering domestic prices, affecting the homegrown products. In response to this, Trump said that foreign producers are gaming the system and hinted that tariffs could be on the horizon. 

He further hinted towards how fertiliser imports from Canada might be next, saying steep duties were under consideration to bolster American production.

Trump asks for suggestions on which country for tariffs on next

Meryl Kennedy, CEO of Kennedy Rice Mill in Louisiana, named India, Thailand, and China as major offenders, pointing out that Chinese shipments were entering Puerto Rico rather than the mainland. “We haven’t shipped rice to Puerto Rico in years,” Kennedy noted, adding that producers in the South are "really struggling."

“Tariffs are working, but we need to double down,” Kennedy insisted.

“You want more?” Trump replied with disbelief.

He told the farmers that they shouldn’t allow dumping and asked Treasury Secretary Scott Bessent to document the countries cited as sources of unfair competition.

As Kennedy began detailing how India might be supporting its rice industry with unlawful subsidies, Trump interrupted. “Give me the countries, if you can. Go ahead. India, who else? Mark it down, Scott,” the president directed.

Treasury Secretary Bessent reiterated India, Thailand, and China as the primary culprits, noting that there are others and that a full list could be provided. Trump assured the group that he would resolve the issue swiftly.

US delegation in India

Meanwhile, a senior delegation from the US Trade Representative’s (USTR) office, led by Deputy USTR Rick Switzer, is set to resume talks with India this week. Meetings are scheduled for December 10 and 11 to address a broad range of issues as negotiations on the Bilateral Trade Agreement (BTA) move forward.

Commerce Secretary Rajesh Agarwal, India’s chief negotiator, will lead the Indian side. New Delhi aims to complete the first phase of the BTA before the year's end.