The agriculture group Tariffs Hurt the Heartland commissioned a study on the impact of the trade was on the U.S. economy if the trade war with China picks up again in March, when a temporary truce between the countries runs expires. The study shows the U.S. economy could lose up to 2.2 million jobs and the average family of four would pay an extra $2,400 for goods and services every year.

The study was prepared by the firm Trade Partnership Worldwide. It considered four scenarios, including the worst-case possibility in which new tariffs are slapped on auto imports, as well as all Chinese goods getting hit with a 25 percent tariff. The report says, “In some instances, the tariff actions erase all of the anticipated gains from tax reform.” Republican and Democratic senators held a news conference this week at the Capitol to discuss the trade study and share stories from constituents that have been hurt by the trade war.

U.S. Trade Representative Robert Lighthizer went before Congress this week and heard a lot about the need to remove the tariffs on aluminum and steel imports. Senate Finance Chair Chuck Grassley told reporters after the 90-minute meeting with Lighthizer that, “It was made very clear that the aluminum and steel tariffs should go before Congress takes up the USMCA agreement.”

Agriculture groups heard some good things in the State of the Union speech. However, the reactions were somewhat mixed. Tariffs Hurt the Heartland group spokesman and former Congressman Charles Boustany reacted to President Trump asking Congress for more authority to impose tariffs through the Reciprocal Trade Act, which is currently before Congress.

“The fact that the bill is dead on arrival in Congress is a good sign that Congress has had enough,” Boustany says. “it’s not surprising that a bill abdicating Congressional authority to oversee tariff increases isn’t popular.” National Cattlemen’s Beef Association President Jennifer Houston says, “We welcome President Trump’s call for passage of the USMCA agreement. With 96 percent of our potential consumers outside of our borders, foreign access is key for cattle producers.”

American Farm Bureau President Zippy Duvall says, “Farmers and ranchers across the country need reforms to our immigration system, and we echo the president’s call for Congress to pass the USMCA agreement.” National Farmers Union President Roger Johnson says the speech didn’t recognize the harsh realities facing U.S. farmers. “If the President truly wants to support American farm families, he’ll begin to restore our reputation as a reliable trading partner and stop straining relationships with our top trading partners,” says Johnson.

President Donald Trump had a lot to say about trade during his State of the Union speech before Congress. However, there may be a battle over trade policy coming in the near future. Trump’s hardline policies are drawing increased scrutiny on Capitol Hill. There is another bipartisan bill coming before Congress designed to limit the president’s ability to impose duties based on national security.

As the president made his first-ever address to a divided Congress, he spoke about the USMCA trade agreement. Politico says the new agreement now partly rests in the hands of the Democratic majority in the House. Trump calls the agreement a “win for farmers and manufacturers,” as well as a no-brainer when compared to the “historic trade blunder and catastrophe known as NAFTA.” However some groups disagree with that assessment. Some Representatives are already asking for a few changes to the USMCA, including stronger labor protections.

Several lawmakers also told Politico that there isn’t any hope of passing the pact while the steel and aluminum tariffs on Canada and Mexico are in place. Trump was more guarded in talking about trade discussions with China, saying “any agreement with Beijing must include real, structural change to end unfair trade practices, reduce the chronic trade deficit, and protect American jobs.”

Farmers had more optimism about the agriculture economy in January than they had in previous months. However, that doesn’t mean they don’t have concerns. The Purdue University/CME Group Ag Economy Barometer says one of their biggest worries is farmland values.

The January reading of 143 was a 16-point jump over December. The survey was the first opportunity to measure how farmers were feeling after the second round of Market Facilitation Payments came out, as well as how they felt about the passage of the 2018 Farm Bill. Those two announcements gave a positive shot in the arm to producers’ sentiments on both their current and future economic conditions.

The January Index of Current Conditions jumped from 109 in December to 132 in January. The Index of Future Expectations rose from 135 to 148. The January survey also included early planting intentions. The survey asked farmers who planted soybeans last year what their plans are in 2019.

Two-thirds of the farmers who responded to the survey say their soybean acreage won’t change from last year. However, 25 percent of soybean producers will be looking to reduce their soybean acreage compared to what it was last year.

The Farm Credit Council joined with the Rebuild Rural Coalition in sending a letter this week to congressional leadership. They did so on behalf of rural communities, U.S. farmers, rural businesses, and rural families. “We’re asking the President and Congress to consider the unique needs of rural communities,” says Farm Credit Council CEO Todd Van Hoose. “The more than 240 organizations signing this letter have united on behalf of our rural America.”

The groups say they’re asking the White House and Congress to ensure that rural communities have access to clean and safe drinking water, secure and dependable surface transportation, reliable and affordable power, healthcare, housing, broadband, as well as research institutions with state-of-the-art facilities. Their goal is to help rural communities thrive and become more attractive places to live.

The 240-plus local, state, and national organizations from across the country are asking leadership in both chambers to strengthen the nation’s infrastructure, including specific provisions focused on the needs of rural communities and agriculture.” Farm Credit supports rural communities and agriculture with reliable, consistent credit and financial services. Farm Credit has been fulfilling its mission of helping rural America grow and thrive for more than a century.

Preliminary trade discussions between Washington and Brussels aren’t going well. In fact, Politico says the talks now appear to basically be an effort to not jump into a full-on trade war. That possibilities potentially include new U.S. tariffs being slapped on automobiles. The two sides can’t even seem to agree on how the negotiations should proceed.

The U.S. wants greater access to Europe’s agricultural markets. However, EU officials say that topic is a deal-breaker. They fear potential backlash from the EU’s politically powerful bloc of farmers. Brussels wants to get rid of tariffs on the industrial goods it ships to the U.S., including cars. However, President Trump is determined to protect American manufacturing.

Politico says the stalemate over agricultural negotiations appears to be dimming hopes for a comprehensive transatlantic trade deal even before official negotiations get going. To keep the U.S. president at the negotiating table, the EU has agreed to boost U.S. soy imports by allowing the use of crops subsidized for biofuel production. Commerce Secretary Wilbur Ross originally had a deadline of February 19th to make recommendations to the president regarding possible duties on auto imports.

However, the government shutdown may have delayed that. Once the recommendations are made, Trump will have 90 days to make a decision The EU Parliament’s Trade Committee vote this month on whether or not to formally oppose the U.S.-EU negotiations.

The Department of Agriculture and U.S. Trade Representative’s Office are accepting nominations for new members to serve on its agricultural trade advisory committees. Announced Monday, nominations received by Friday, March 1, 2019, will be considered for the next round of appointments.

Trade Representative Robert Lighthizer says farmer input on the panels can “help guide President Trump’s trade strategy” in opening markets for U.S. agriculture through ongoing trade negotiations. Members of the Agricultural Policy Advisory Committee advise USDA and USTR on operating existing U.S. trade agreements, on negotiating new agreements, and on other trade policy matters. Members of the Agricultural Technical Advisory Committees represent specific commodity sectors and provide technical advice and guidance on trade issues that affect both domestic and foreign production.

Committee members represent a cross-section of U.S. food and agricultural stakeholders and must have knowledge of agriculture and trade matters. Committee members, who serve four-year terms, must be U.S. citizens, qualify for a security clearance, and serve without compensation for time, travel or expenses.