The U.S. will increase tariffs on China next year if the two can’t resolve a trade dispute. U.S. Trade Representative Robert Lighthizer says the ten percent tariffs on $200 billion of Chinese goods will increase to 26 percent, if there is no resolution by the March deadline.

Politico reports that it’s somewhat unclear what China is expected to do to avoid the higher tariffs, and that the heart of the U.S. complaints against Beijing’s trade practices focus on deeper issues like Chinese technology transfers and intellectual property policies.

China has begun purchasing U.S. soybeans within the last week, a promised action stemming from the G20 Summit meeting. China also announced it would lower tariffs on U.S. auto imports. Lighthizer says the Trump administration is looking for structural changes to increase market access for American companies, protect intellectual property and end forced technology transfers.

President Donald Trump is expected to sign the 2018 farm bill this week, rumored to be Thursday. The President hinted over the weekend that he would sign the Agriculture Improvement Act of 2018, saying “we’ll get the farm bill,” at the White House Congressional Ball. Trump said the bill was in “very, very good shape,” according to the Hagstrom Report.

The House and Senate each passed the farm bill last week and Trump must sign it before December 31, 2018, when commodity title programs start to expire. The 2014 farm bill expired at the end of September, but some programs were allowed to operate beyond expiration. Meanwhile, the Department of Agriculture needs further action by Congress this week.

Funding for USDA and the Food and Drug Administration expire at the end of this week and federal agencies are preparing for a partial government shutdown as lawmakers and President Trump fight over spending and a border wall.

The latest Farm Journal Pulse Poll is out, and it shows farmers have a negative view of agriculture policy in the U.S.

Of the hundreds of farmers that responded to the poll, 49 percent say current Ag policy is mostly or very unfavorable. While 24 percent of the respondents said they were “neutral” on the question, only nine percent of the hundreds of farmers said the current policy environment was favorable.

The poll came out during movement on a number of issues that are important to American farmers. Those issues include trade, Waters of the U.S., and passage of the 2018 Farm Bill in Congress. The poll was done before the U.S. reached a temporary truce in its trade war with China.

Despite frustrations with Ag Policy, most farmers don’t seem to place a lot of the blame on President Trump. Out of all the responses, 62 percent rated the president and his administration as mostly or very favorable. Only 24 percent had a mostly or very unfavorable opinion of the president and his policies.

A Bloomberg report says China is taking even more steps to lessen its trade tensions with the U.S. China confirms it will remove retaliatory duties on American automobile imports and it’s preparing to restart purchasing American corn.

The Chinese Finance Ministry says the 25 percent tariff on automobiles will disappear on January first. Sources close to the discussions told Bloomberg that China is preparing to purchase at least three million metric tons of corn. The White House will delay tariff increases on Chinese goods that were set for January first.

Bloomberg sources say the corn purchases likely will start as early as next month. The Chinese government is also considering how to handle the 25 percent tariffs on American corn imports that were implemented in July. The moves by China come only two weeks after its president, Xi Jinping, met with U.S. President Trump.

Ag Secretary Sonny Perdue met with President Donald Trump to talk about a second round of trade-aid payments to farmers. Perdue had said an announcement was coming out on December third but that’s come and gone.

The payment was first delayed as Washington honored the passing of former President George H.W. Bush. Now, the delay boils down to a Chinese soybean purchase and Office of Management and Budget Director Mike Mulvaney.

Politico says the OMB Director is a longtime critic of farm policy. He’s pushing back against the idea of a second round of trade assistance for farmers and ranchers. “OMB and Director Mulvaney, as always, are looking to hold on to money,” Perdue says. “I understand that. I think this is a commitment that the president made and we hope to have it resolved soon.”

The first Chinese soybean purchase from the U.S. in six months has brought about questions on whether there should even be a second round trade aid, which could amount to as much as $6 billion. While the soybean purchase is encouraging, agriculture is still being hit by retaliatory tariffs imposed by China, Canada, and Mexico.