WASHINGTON — President Donald Trump introduced April 2 extensive tariffs, declaring a national economic emergency.

The administration’s “reciprocal” tariffs will most impact trade partners with which the United States has the largest trade deficits. Trump invoked the 1977 International Emergency Economic Powers Act to put the plan in place without first gaining approval from Congress.

The plan includes a 34% tax on imports from China and 20% on the European Union. Rates for Canada and Mexico won’t see additional hikes after Trump already implemented tariffs on goods from those US trade partners.

Trade groups such as the International Dairy Foods Association (IDFA), US Dairy Export Council (USDEC) and National Milk Producers Federation (NMPF) responded to the presidential order and its ramifications.

IDFA senior vice president of trade and workforce policy Becky Rasdall Vargas noted the US dairy industry exports more than $8 billion worth of dairy products to roughly 145 countries.

“To meet growing global demand, dairy businesses have invested $8 billion in new processing capacity here in the United States — creating jobs, strengthening rural economies and positioning America as the world’s leading dairy supplier,” Vargas said. “This growth depends on strong trade relationships and access to essential ingredients, finished goods, packaging and equipment to provide Americans with safe, affordable and nutritious dairy foods and beverages.”

Vargas said IDFA supports the administration’s “efforts to hold trading partners accountable and expand market access,” but also urged it to engage directly with US dairy stakeholders in order to “swiftly pursue resolutions with our trading partners” and strengthen the industry’s place on the global stage.

“Broad and prolonged tariffs on our top trading partners and growing markets will risk undermining our investments, raising costs for American businesses and consumers, and creating uncertainty for American dairy farmers and rural communities,” Vargas said.

USDEC president and chief executive officer Krysta Harden said Trump’s “commitment to addressing certain unfair and harmful trade policies that American dairy farmers and manufacturers have long faced in the global marketplace can yield positive results if the tariffs announced [April 2] are used as leverage to remedy the various trade barriers facing our exporters.”

Harden added: “A firm hand and decisive approach to driving changes is most needed with the European Union and India to correct their distortive trade policies and mistreatment of American agriculture, including both imbalanced tariff barriers and nontariff chokepoints, such as the misuse of Geographical Indications to block sales of our cheeses.”

She also said most US trading partners have positive relationships with the industry.

“We encourage the administration to work swiftly with these constructive partners to negotiate new trading terms that expand opportunities for US exports and secure the elimination of both tariff and non-tariff barriers,” Harden said.

NMPF president and CEO Gregg Doud said tariffs can be “a useful tool” in trade negotiations.

“To that end, we are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports,” Doud said. “The administration has rightly noted both countries’ penchants for restricting sales of American products. In fact, 20% reciprocal tariffs are a bargain for the EU considering the highly restrictive tariff and nontariff barriers the EU imposes on our dairy exporters.” 

Doud also said if the EU retaliates to the tariffs, NMPF would encourage the administration “to respond strongly by raising tariffs on European cheeses and butter.” 

A “level playing field” for US dairy producers, Doud said, may be achieved with productive negotiations.

“As the administration moves forward with negotiations on these tariffs, we encourage prioritizing getting back to fully open trade with US FTA partners, targeting actors who have long put up entrenched barriers to American exports, and swiftly negotiating constructive outcomes with those we know are working for a long-term fruitful relationship with American farmers,” he said.