Traveling to farm country rattled by his trade wars, President Trump boasted Thursday that he has opened up European markets for U.S. farmers and promised to approve a federal waiver for the sale of gasoline containing 15-percent ethanol.
A day after announcing an agreement for the European Union to buy U.S. soybeans, Mr. Trump told an audience in Peosta, Iowa, that he had secured one of the “biggest of all” trade deals.
“We just opened up Europe for you farmers,” the president said. “You’re not going to be too angry with Trump. You have just gotten yourself one big market.”
To underscore his point, Mr. Trump came to the event with green caps with the slogan, “Make Our Farmers Great Again.”
On ethanol, the president also said he is very close to “pulling off something that you’ve been looking forward to for many years” — a waiver allowing the sale of gasoline with 15-percent ethanol year-round, which could help farmers by increasing demand for corn.
“We’re getting very close,” Mr. Trump said. “It’s a very complex process. We’re taking care of your ethanol.”
He also said Republican Sens. Chuck Grassley and Joni Ernst of Iowa have “been pushing me very very strong on the ethanol.”
The proposal is opposed by Big Oil, and the Environmental Protection Agency currently bans the higher ethanol blend, called E15, during summer due to concerns that it contributes to air pollution. Advocates of biofuels argue the worry is unfounded.
Gasoline typically contains 10 percent ethanol.
Farm states have been increasingly anxious about Mr. Trump’s trade wars with China, the European Union and others. Farm products such as soybeans and pork have been hit with retaliatory tariffs in response to Mr. Trump’s tariffs on steel and aluminum, raising prices and shutting off markets for farm exports.
Renewable Fuels Association President and CEO Bob Dinneen said his group was encouraged by Mr. Trump’s supportive comments about ethanol.
“More importantly, he did so today outside the context of some kind of ’deal’ to help refiners,” Mr. Dinneen said. “Refiners are doing quite fine today, seeing record profits and unprecedented exports. Farmers are not. Farmers are suffering from unfair trade barriers and chronically low commodity prices. Farmers need relief now in the form of increased market opportunities. E15 year-round would do that.”
• Dave Boyer can be reached at dboyer@washingtontimes.com.
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