Trump To Loosen Ethanol Rules, Aiding Anxious Farmers Before Midterms

"WASHINGTON — When President Trump visits Iowa on Tuesday he will unveil a pro-ethanol perk aimed at soothing corn and soybean farmers in the heartland made anxious by his decision to impose tariffs on China, a move that kicked off a trade dispute with a major buyer of American agricultural products.

The trip to Council Bluffs, Iowa, which comes on the heels of campaign rallies in Minnesota and Kansas, is part of Mr. Trump’s efforts help Midwestern Republicans facing tight midterm election races this November because of a backlash to his trade policies. Lawmakers acknowledged that the plan — which will include lifting a federal ban on summer sales of higher ethanol blends of gasoline, something the industry has long sought — will be critical to assuaging farmers in Iowa and elsewhere who have grown deeply worried about the falling prices of corn and soybeans.

“There is anxiety about the president’s program on putting on tariffs,” said Senator Chuck Grassley, Republican of Iowa, though he noted the administration’s successful renegotiation of a trade deal between the United States, Canada and Mexico has allayed some of those worries."

Lisa Friedman reports for the New York Times October 8, 2018.

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Source: NY Times, 10/09/2018