HOUSE COMMITTEE ON WAYS & MEANS
COMMITTEE HEARING
For questions on the note below, please contact the Delta Strategy Group team.
On April 22, the House Committee on Ways and Means held a hearing on the Trump Administration’s 2026 Trade Policy Agenda with United States Trade Representative (USTR) Jamieson Greer.
Below is a summary of the hearing prepared by Delta Strategy Group, which includes several high-level takeaways, followed by summaries of opening statements and discussion.
Key Takeaways
- Chairman Smith (R-MO) highlighted the Trump administration’s America First Trade Agenda, citing over 18 new trade agreements and frameworks, more than $1 trillion in investment commitments, and record U.S. exports of $3.4 trillion in 2025. Chairman Smith called for a long-term reauthorization of the African Growth and Opportunity Act (AGOA).
- Chairman Smith, along with Representatives LaHood (R-IL), Feenstra (R-IA), and Fischbach (R-MN), raised concerns about the state of U.S. agriculture. Greer highlighted purchase commitments secured from Bangladesh, India, Indonesia, Japan, Taiwan, and Thailand for soybeans, double-digit corn export growth in 2025, and the United States Department of Agriculture (USDA) efforts to bring more fertilizer producers into the market through permitting and regulatory reform.
- Discussions covered the United States-Mexico-Canada Agreement (USMCA), with members asking about rules of origin, bulk fresh produce import prohibitions, third-country transshipment, and whether the agreement would be restructured from a trilateral to two bilateral agreements. Greer stated that Mexico is open to a bilateral protocol that adjusts and improves USMCA, that the July 1 deadline will require each party to indicate whether they intend to renew or enter renegotiation, and that the administration does not intend to rubber-stamp the deal.
- Greer noted that agriculture has been a success under USMCA, that Mexico is currently mostly an open market for U.S. agricultural goods, and that maintaining that market access is a core priority going into the review.
- Representative Schweikert (R-AZ) raised the structural tax arbitrage created by foreign value-added tax (VAT) systems, noting that most of the industrialized world refunds the VAT on goods they sell to the U.S. while imposing it on U.S. goods sent to them, effectively penalizing U.S. exporters by an average of around 18 points. Greer acknowledged the issue as longstanding and expressed openness to working with Congress on a more durable solution.
- Multiple Republican members raised the administration’s approach to China across trade, agriculture, and national security, with multiple members welcoming the upcoming Beijing summit and the U.S.-China Board of Trade (BOT) mechanism. Members urged the administration to use the opportunity to secure additional agricultural purchase commitments, including for tobacco, distillers dried grains with soluble (DDGs), and ethanol.
- Representative Murphy (R-NC) raised the struggle of U.S. cotton farmers, noting the U.S. consumer is effectively subsidizing the Brazilian cotton farmer, and urged the administration to support the Buy American Cotton Act (BACA) legislation to provide relief for U.S. cotton producers. Greer noted adjustments have been made in Central America to ensure the cotton textile supply chain is preferential relative to Asia.
- Greer defended the administration’s use of Section 122 of the 1974 Trade Act as the legal bridge following the Supreme Court’s IEEPA ruling, discussing that the longstanding U.S. trade deficit constitutes the balance of payments crisis required to invoke this authority. He stated that the president’s trade policy has not changed and that tariffs will continue to be imposed using appropriate legal tools, while declining to commit to allowing Section 122 tariffs to expire.
- Greer noted that the 76 Section 301 investigations are being conducted by career USTR staff and will include country-by-country analysis, public comment opportunities, and findings reports. Greer indicated that to the extent countries have already signed reciprocal trade agreements that mitigate the problematic practices under investigation, those agreements will be taken into account in determining remedies.
- Greer stated the president will travel to Beijing next month. He noted China has largely fulfilled its prior soybean purchase commitments and that the administration will raise 2026 commitments directly with Chinese counterparts ahead of the summit.
- Representatives Miller (R-WV) and Moore (R-UT) asked about the administration’s approach to critical minerals, including the potential for agreements with Central Asian countries as a pathway to lifting the Jackson-Vanik Amendment and the timeline for a plurilateral critical minerals trade agreement. Greer stated USTR is developing draft text for a plurilateral agreement that will be shared with Congress before being circulated to allied partners, and that action plans are already in place with Mexico and Japan. Greer added that any Congressional movement on Jackson-Vanik should be coupled with progress on critical minerals market access with Central Asian countries, noting that U.S. government agencies have already had constructive talks with Central Asian republics on the issue.
- Multiple Democratic Representatives raised concerns about the administration’s tariff agenda, citing the Supreme Court’s ruling striking down the IEEPA tariffs and stating that Section 122 is similarly inapplicable as a replacement authority. Members pointed to increases in consumer costs, a rise in farm bankruptcies and farm debt, and the loss of manufacturing jobs, and called for automatic refunds of tariffs collected under the now-illegal IEEPA authority.
SUMMARY
Opening Statements and Testimony
Committee Chairman Smith (R-MO)
President Trump’s administration has signed more than 18 new trade agreements and frameworks that support American jobs, strengthen our industrial base, and secure our supply chains. Under President Trump, the wins for America’s farmers and ranchers have been nothing short of historic. One area of concern is in American manufacturing. President Trump’s America First Agenda is about bringing jobs and investment back to the U.S. We cannot accomplish this goal if our trade policies incentivize companies to locate their facilities in Mexico and Canada rather than the U.S. Mexico and Canada have obtained a cost advantage, and it must be addressed to help U.S. workers. As the July 1 joint review deadline approaches, we must assess the improvements needed to sustain the agreement’s success and eliminate loopholes. We have seen with USMCA how benefits can fail to materialize for U.S. producers when trade agreements are not robustly enforced. Our country cannot go back to business as usual and reverse the historic gains won by President Trump’s trade policies. This administration must be vigilant and focused on enforcing the commitments our trading partners made in these new trade agreements. The Committee proved its bipartisan support for AGOA remained strong when we secured renewal for another year. A long-term reauthorization that advances the U.S.’s strategic interests is a must. AGOA strengthens our critical supply chains and helps us counter the harmful influence of nations like China and Russia in one of the fastest-growing parts of the world. We must set high standards for our trading partners and ensure market access for U.S. producers. We must continue tearing down trade barriers that hurt U.S. producers, farmers, and workers, and hold our trading partners accountable.
Ranking Member Neal (D-MA)
Trade policy should be grounded in law, and in this Committee, there was a bipartisan tone to trade. We need to rebuild the trust that is being damaged and restore Congress’s rightful role in reining in executive authority. Any path forward starts with acknowledging what has gone wrong and recommitting to a trade policy that serves all members of the American family.
USTR Jamieson Greer
President Trump’s first-term agricultural trade surplus was replaced under Biden by the largest agricultural trade deficit in U.S. history. Since the introduction of the president’s reciprocal trade program in April 2025 through February 2026, the U.S. trade deficit in goods decreased by 24 percent compared to the prior period. Instead of an average eight percent increase, we have now started reversing the trade deficit, and a large part of this is attributed to reduced dependence on China. The president’s program has driven manufacturing business sentiment above the low levels seen during the Biden years. We have seen that capital goods orders used for production are skyrocketing during President Trump’s term. Our agricultural community is one of the largest beneficiaries of these policies, with double-digit export growth in 2025 for key commodities like corn and dairy, and the ag trade deficit is finally falling again. Our service providers are benefiting from new market access. We have negotiated a number of new trade agreements in a very short time. As we move from the damaging trade policies of the past toward a global system of reciprocal and balanced trade, my team and I will continue to consult with this committee, staff, and other members of Congress.
DISCUSSION
Chairman Smith (R-MO): What more is the administration considering when it comes to addressing concerns faced by farmers and ranchers, and is the administration still considering utilizing tariff revenue to provide targeted support for American agriculture? Greer: We are aware of the input cost issue. Fertilizer prices skyrocketed under the Biden administration, and they still have not come down enough in our view. We have fertilizer producers in the U.S. who want to open new mines or new processes, but they are slowed down by regulatory processes that we are speeding up. We are committed to permitting reform and regulatory reform.
Chairman Smith: Will you commit to helping secure a long-term reauthorization of AGOA by the end of this year? What length of reauthorization have you discussed with the president? Greer: We commit to working with you for a multi-year authorization. I do not have a specific number yet. When we look back at twenty years of AGOA, China was the largest beneficiary of African trade. Something was not working with AGOA, and we want to improve it. This is at the top of our agenda, and there is a real opportunity to work together to create a longer-lasting, more reciprocal AGOA.
Ranking Member Neal (D-MA): Can you commit to letting the Section 122 tariffs expire without adding new tariffs? Greer: He is not going to go back to the old situation where we had no tariffs and let foreign goods made by foreign workers come in without any fees, to the detriment of domestic workers. He will continue to have tariffs using appropriate legal tools.
Ranking Member Neal: Can you commit to working directly with our Committee to ensure the USMCA is strengthened and extended, as envisioned when President Trump called it the best trade agreement in the history of the world? What are your views on USMCA? Greer: Yes, and I will continue working with you and the Committee on USMCA renewal, renegotiation, and related matters. The idea is that there would come a time when you would either want to renew it without change or enter a period in which you could renegotiate its elements. There are a number of load-bearing pillars in the USMCA that we do not think about much because they work well. There are cases where third countries bring goods into Canada or Mexico, then into the U.S., to the detriment of our workers. In our discussions in Mexico this week, we have focused on rules of origin, economic security, and sectors we need to reshore to North America, including the U.S.
Representative Smith (R-NE): What are you thinking about the dispute settlement mechanism as you enter into discussions with Mexico and Canada, and are there opportunities to make it more efficient? Greer: Yes, there are opportunities to make it more efficient. Mexico and Canada must understand that we will act if they fail to honor their commitments.
Representative Smith: As you complete the current Section 301 investigations, review their findings, and consider potential remedies, do you anticipate that any tariffs applied would have similar product coverage to those under Annex 2 or Section 122? If Annex 2 is maintained, would you consider expanding it to include any products identified as unavailable in our country through the Section 301 public comment process? Greer: Section 301 is an ongoing investigation, so I do not want to prejudge it, but we will release our findings. If we think responsive action is needed, we will communicate that to the public and hold a comment period.
Representative Kelly (R-PA): How is USTR approaching its evaluation of Chinese investment in the U.S.? Greer: No one has been clearer-eyed on the challenge posed by China than President Trump. When we go to China next month, we will try to have a proactive agenda and discuss areas where we should be trading, where we should be selling to them, and where we should be buying from them. These are non-sensitive goods.
Representative Sewell (D-AL): What can I say to my farmers who say that they are worse off currently? Greer: We are aware of the effects of fertilizer, particularly for spot prices. A lot of farmers were covered in advance, and those who were buying on the spot market are seeing increases. We get a lot of potash from Canada, which is duty-free. We do a lot of phosphate here in the U.S. Nitrogen we do get from overseas, and that is where we are focused.
Representative Chu (D-CA): Was there stakeholder input on this process of removing tariffs on goods the U.S. does not produce, such as bananas and coffee beans? As you move to reconstruct tariffs under Section 122, would you commit to a clear public process for determining future exclusions, or will these decisions be made internally without clear criteria or stakeholder input? Greer: The Section 122 tariffs are in place and account for these types of products. The tariffs were in place on those goods to gain leverage over countries that exported them to us. We now have deals with those countries, so we do not need tariffs. Going forward, I have Section 301 investigations. We do not expect an exclusion process. There is a Federal Register notice that allows companies, stakeholders, unions, and others to comment. We received many comments on that, and there will be future opportunities to comment.
Representative Murphy (R-NC): Given the challenges facing the U.S. cotton industry and the importance of the Hemispheric Opportunity through Partnership Encouragement (HOPE) and Haiti Economic Lift Program (HELP) programs for supporting U.S. cotton demand, nearshoring supply chains, and promoting stability in Haiti and the Western Hemisphere, what is the administration’s position on establishing a long-term extension of HOPE HELP? Would the administration support a multi-year extension of the program in light of the recent decline in utilization and the application of Section 122 tariffs to HOPE HELP-eligible products? Greer: To the extent there is movement on AGOA reauthorization, it would make sense to consider coupling it with HOPE HELP. We are open to working with Congress on a preference package in that context. I do not have a specific timeframe for an extension, but we are open to considering a duration that makes sense.
Representative Murphy: What is the strategy for getting China back on board and increasing additional agricultural purchases? Greer: We are talking in terms of aggregate overall purchases from China. There has been a lot of talk about soybeans, and we have a specific commitment on soybeans, but we are looking to get a commitment from the Chinese overall with respect to all agriculture. We are trying to establish a mechanism with China to facilitate expanded trade in non-sensitive goods.
Representative Miller (R-WV): What are your thoughts on pursuing critical minerals agreements with Central Asian countries as a pathway to lifting the Jackson–Vanik amendment? Greer: A number of U.S. government agencies have had constructive talks with Central Asian republics on critical minerals. It is just one sector among many, and these are large countries with growing economies, and we should be there. Any time Congress moves to address Jackson-Vanik or anything like that, it should be coupled with movement on critical minerals and other market access that we need into those countries.
Representative LaHood (R-IL): Are we making meaningful progress in trade policy that is opening new markets and delivering results for U.S. corn and soybean farmers? Greer: Agriculture is a big part of trade policy. Any time we do a deal with a country, we say there must be an agriculture element. We are seeing diverse economies, large and small, opening, seeking to reduce their trade deficits, and looking to do so through soybeans. Corn exports went up by double digits last year. When it comes to trade, we are doing our part. USDA has been traveling around the world, following up on deals, with trips by the undersecretary and others to connect buyers and sellers in those markets.
Representative LaHood: What confidence can you give to our farmers that USMCA is going to stay intact, and those markets are going to stay vibrant? Greer: All of the deals that President Trump has made with any country have required the other countries to open their markets. Mexico is mostly an open market for agriculture. There are non-tariff barriers that we need to make sure are either removed or not adopted. Corn has been an issue, and they know they cannot move to changing our market access for corn right now. Our goal is to ensure we maintain market access in these countries. We need to take actions to protect manufacturing. We have a nearly $200 billion trade deficit with Mexico that does not make sense. We need to make sure we control that, but part of that is ensuring we can continue to export to Mexico to balance that trade.
Representative LaHood: What is the next step in the process for USMCA renewal, and what is the timeline? Greer: On July 1, each party to the agreement must indicate whether they will proceed with a renewal or enter a longer renegotiation process. If renegotiation is unsuccessful, you eventually exit the agreement. I do not think we are in a position to rubber-stamp the deal. We now have six years of data, and we see problems. We see good areas, and think agriculture is a great place. We want to maintain that, but we do have other areas that we need to fix.
Representative Fitzpatrick (R-PA): Can you expand on any details of the review that you are particularly focused on as we approach the USMCA deadline? Greer: As an initial matter, we are addressing topics with Mexico such as rules of origin, economic security, and supply chain resilience. This means that if Mexico and the U.S. are going to have a close trade relationship, we need to ensure that the goods are actually from the U.S. and Mexico, not from a third country using Mexico as an export hub to enter the U.S. without any obligations under the agreement. We want to make sure we are reshoring sectors like electronics, pharmaceuticals, and semiconductors, and if Mexico is going to have a trade relationship with us, it supports those goals.
Representative Schneider (D-IL): Did your counterpart in Mexico say they would be better off without USMCA, or are they seeking to continue USMCA? Greer: Mexico agrees with us that there are things that can be changed in USMCA, particularly to have more production in North America, and they are open to having a bilateral protocol that improves and adjusts some of the things in USMCA. There are a lot of load-bearing pillars in the USMCA that we may not have to touch, but there are things we have to fix, and Mexico is open to doing that bilaterally.
Representative Tenney (R-NY): How do we get Canada to come to the table and bring back the relationship that is important for our farmers and our business owners? Greer: I have good relationships with my direct counterparts, and we talk about things. If we can get some changes in Canadian trade practices, it will help me get over the political hurdle we face here in the U.S. There are things that can be done. I have been clear with the Canadians on a variety of things. I will continue having conversations with these folks behind closed doors, but I hope we can get over the hump on some of these things and have significant talks.
Representative Fischback (R-MN): Have you spoken with your Chinese counterparts about their purchase commitments, and can you provide us an update on what is going on with that? What happens if they do not make their purchase commitments? Greer: It is something we are watching very closely. This is one of the core commitments. We have found in past years that China can be an unreliable purchaser. It is a challenging situation for our farmers to be dependent on this market. What we have done is secure solid volume commitments that are fairly easy to measure. The Chinese have essentially fulfilled the commitment from the last season, and now we are entering the new season. We speak with our counterparts at the staff level and at my level with some frequency, and will raise it to make sure that they fulfill that commitment. The terms of the deal are that at one point we had extremely high tariffs on China, and now we just have high tariffs on China. The president has tools like that, along with others, as an enforcement mechanism. The Chinese know this. They want stability as much as we do, and we feel very strongly that they will deliver on this. The president will meet with President Xi in a few weeks to reinforce this, so we feel confident. If they do not, we will take the necessary actions.
Representative DelBene (D-WA): Will USTR perform a thorough country-by-country analysis under each of the Section 301 investigations? Will you commit to publishing these decision memos, and we can see the results? Greer: We are conducting consultations with countries that desire it. We have offered it to all the countries. We have conducted comment processes already, and we are taking care of this. The career staff is doing this, and they are incredible. I am very confident that they will be thorough. Some of these things are deliberative in nature and are not subject to certain disclosure requirements. We will put out a report on our findings, a Federal Register notice, and people can comment. It will be quite transparent.
Representative Feenstra (R-IA): How do you think the more permanent BOT will help ensure China sticks to the purchasing agreement and provides better access for our U.S. producers? How do you see that playing out? Greer: The Chinese economy is a command economy. They have something that passes as a private sector, but it is beholden to the government and the party. In the U.S., we try to have as much of a free-market, capitalist economy, so those economies do not fit together very well. The BOT is a government-to-government mechanism through which we can engage with the Chinese on mutually acceptable terms. If they are going to have a managed economy, then they can manage importing from the U.S. We can identify goods that are important for us to sell to them, and identify goods we are willing to buy from them as well, mostly in non-sensitive sectors. There is a lot of mutually beneficial trade we can do with the Chinese, but it has to have some predictability to it.
Representative Feenstra: Can you talk about where we are at and what we can do to encourage India to have more of our agricultural products represented over there? Greer: We have a joint framework agreement with India, which sets out the general terms for our agreement. India is a challenging market to open. They have protected their agricultural markets for a very long time, and as part of any deal, they are going to want to protect a lot of that still. There are things where we can find mutual agreement.
Representative Feenstra: Do you see opportunities to export more ethanol to other countries, like in Asia? Greer: We have a variety of countries that have agreed to reduce their tariffs on U.S. ethanol imports. We are talking to the Brazilians about this. The trade relationship is a little more fraught right now, but we are talking to them about ethanol. There are things we can do mutually with the Brazilians to reopen that market. There is a lot going on, a lot we have achieved, but there is more to do.
Representative Boyle (D-PA): What specific commitments are you and this administration looking for in the review of USMCA, specifically with respect to Mexico? Greer: We would expect that any rules of origin be updated if we are going to have preferential trade with Mexico. I cannot have a situation where China, Vietnam, or other third countries are using Mexico as an export hub to undermine U.S. workers and manufacturers. That is why the unions have been so supportive of what we are doing on tariffs. We want the Mexicans to follow their labor laws.
Representative Moore (R-UT): What is the timeline and key priorities for negotiating a plurilateral critical minerals trade agreement, and how can state and local officials contribute to advancing it? Greer: Our office is developing a draft text to share with allies. We are going to share it first with Congress and Congressional staff to get direct review and feedback from Congress, and then we will share it with allies who are well-positioned to start negotiating. We have action plans on critical minerals with Mexico and Japan, and we are looking at specific minerals to almost run an experiment. Look at the data, supply, demand, and if we need a protective price floor to ensure the economics work out, determine what that would look like and how you would determine it.
Representative Yakym (R-IN): Are you negotiating on steel and aluminum as a part of or alongside the USMCA review process? Greer: The Canadians and the Mexicans want some kind of adjustment. President Trump has been clear that tariffs on these items are important and effective. We shipped more steel than Japan last year for the first time in a long time. Canada and Mexico are asking for adjustments, but anything on that front would have to be approved by President Trump.
Representative Bean (R-FL): Are you addressing the tariff challenges on U.S.-grown cotton that is processed abroad and re-imported, and can policies be adjusted to better support that supply chain? Greer: We have made adjustments, particularly in Central America, which is part of our cotton textile supply chain, to make sure that that supply chain is preferential relative to Asia and other places. We want to have as much of that production as close to home as we can.