
President Trump delivered the strongest pro-farmer, pro-worker trade agenda in a generation. His Big Beautiful BillĀ was built to secure American jobs, reward production here at home, export American goods around the world, and put the globalists on notice. No more selling out our heartland for cheap imports and broken promises.
But some swamp creatures in Washington want to sneak in a quiet betrayal.
In the House version that just passed, special interests snuck in a repeal of certain duty drawbacks. This little-known but important policy helps reduce the U.S. trade deficit by maximizing the number of American-made or American-grown products that get shipped overseas. The Senate following suit by accepting this bill provision wouldnāt be America First. It would be America Last.
When American farmers or manufacturers import raw materials ā fertilizer, steel, chemicals ā they pay tariffs. As they should. Thatās part of Trumpās strategy to ensure other nations donāt rip off the U.S. economy. Trumpās tariffs protect farmers and the U.S. agricultural sector as much as they do every other American industry.
However, if U.S. farmers or companies use these imports to make other goods that they sell overseas or export goods similar to thoseĀ theyĀ imported ā whether wheat, whiskey, or wine ā theyāre eligible to get some or all the tariffs they paid refunded. Why? Because tariffs are meant to promote American exports, not punish them. They helpĀ reduceĀ the U.S. trade deficit and keep Americaās agriculture sector in the lead globally.
Why should U.S. producers pay full tariffs for sellingĀ American-madeĀ products to the rest of the world?
Farmers and U.S. manufacturers are not asking for more subsidies to match the largesse that other countries (like China) give to their producers. Theyāre just asking for fair treatment so they can continue helping to advance Trumpās America First trade goals.
Again, duty drawbacks helpĀ reduceĀ the trade deficit. They boost American exports and keep our factories humming and our farms alive. And they strengthen the very America First vision that President Trump campaigned on and delivered. So why would anyone in their right mind try to gut them?
Because they donāt understand farmers. They donāt understand trade. And they sure donāt understand Trumpās base. They hear the word ādrawbackā and think it sounds like a tariff loophole. But they couldnāt be more wrong. And soon, theyāll come for the whole hog.
Today, they want to eliminate the duty drawback for American-grown tobacco products. But tomorrow it will be wheat, corn, cotton, soy, steel ā you name it. Give the special interests in D.C. an inch, and theyāll take a mile. They always do.
Again, the whole purpose of tariffs is to boost U.S. exports. If the duty drawbacks helps the U.S. sell more goods to the countries that have ripped us off for far too long, then itās by definition a net positive for the American economy, not a net negative ā and it should stay in place.
Make no mistake: Congress eliminating this duty drawback would hurt the same family farmers President Trump pledged to protect.
AccordingĀ to Kimberly Foley, the Executive Director of TA, a nonprofit dedicated to promoting the export of U.S. barn-cured tobacco, āDuty drawback plays a quiet but essential role in keeping U.S. leaf attractive on the international stage.ā Derek Day, the Chairman of the Board and a tobacco grower himself, also noted that, āin many cases, tobacco is what holds the rest of operation together,ā giving them the financial stability to stay afloat and put sweet potatoes, peanuts, cotton, poultry, and cattle on all our table. As he put it, āitās the crop that brings resilience to our farms,ā which is why āwe need smart policy that ensures we can keep producing it.ā
In other words, kill the duty drawback, and you risk killing the farm.
When my friends sell Virginia-grown farm produce to overseas buyers, they are not undermining trade policy. They are fulfilling it. Thatās the whole point of Trumpās tariffs ā to give our workers and farmers the edge, not the bill.
The swamp is always looking for ways to water down Trumpās legacy. But this time, itās personal. Itās the livelihoods of American farmers on the line. Itās the difference between a farmer staying in business or shutting the gates for good.
So hereās my message to lawmakers: Mess with Trumpās trade agenda, and weāll remember. Hit our farmers by caving to special interests, and weāll hit back at the ballot box.
Martha Boneta Fain isĀ a political strategist and farmerĀ known for the passage of a landmark right-to-farm law in the Commonwealth of Virginia.
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