The Trump administration is rapidly reshaping the U.S. government, implementing policies with immediate global consequences. Recent moves include imposing tariffs, cutting foreign aid, withdrawing from key international agreements, and proposing significant budget reductions for scientific agencies.
Among the most controversial economic decisions, Trump imposed a 25% tariff on Mexican and most Canadian imports and a 10% tariff on Chinese goods. In response, Canada and Mexico vowed retaliatory tariffs, while China said it will take other countermeasures.
Days later, Trump suspended the tariffs on Mexico and Canada for 30 days in exchange for commitments on border and crime enforcement, providing temporary relief to affected industries.
Companies such as US land-based salmon farmer Atlantic Sapphire, which mainly sources fish feed from Canada’s Skretting mills, had been exploring alternative suppliers due to the tariff-induced cost increase. With the temporary suspension, some pressure has eased, but uncertainty remains over long-term trade relations.
Agriculture is also feeling the strain, particularly soybean farmers. Soybeans, the top U.S. farm export by value, along with corn and wheat, are highly vulnerable to retaliatory tariffs. Trade tensions with Beijing in 2018 saw U.S. soybean exports plummet to their lowest level in nine years, with China shifting its primary soybean purchases to Brazil.
ADM and Bunge reported this week a drop in their Q4 2024 results, as increasing supplies and challenges in the agricultural industry, such as the three-year lows in soybean, corn, and wheat prices, have been pressuring agricultural commodities markets in the past few months. The oversupply and resulting price drops are forcing major players, including ADM and Cargill, to reevaluate their workforce and operational strategies. Adding to the uncertainty, Trump’s tariffs further complicate an already challenged market.
Beyond trade, the administration’s impact extends into environmental policy. Trump nominated Neil Jacobs to lead the National Oceanic and Atmospheric Administration (NOAA), an agency he previously sought to cut by 17%. The move has sparked concerns among environmental advocates, particularly as NOAA oversees climate research, ocean conservation, and weather forecasting. Beth Lowell, vice president for the U.S. at Oceana, warned that “withdrawing resources from NOAA will have a ripple effect that sacrifices the communities, jobs, and coastal economies that rely on healthy oceans.”
As Trump’s administration continues to reshape government policies, industries and international partners brace for long-term consequences across trade and economic stability.
