Summary of HR 3982: Tariff Response and Damages to Exports Fund

Bill Number: HR 3982

Introduced On: June 12, 2025

Status: Introduced in House

Primary Sponsor: Julia Letlow

Cosponsors: Cleo Fields, Clay Higgins

Purpose and Intent

The primary purpose of HR 3982 is to establish a dedicated fund, known as the Tariff Response and Damages to Exports Fund (TRADE Fund), aimed at supporting agricultural producers adversely affected by international trade disruptions. This includes issues such as decreased exports, foreign tariff barriers, and increased production costs due to market conditions.

Key Provisions

1. Establishment of the TRADE Fund:

   • The TRADE Fund will be created within the general fund of the U.S. Treasury.
   • It will be financed by revenues collected from duties on imports classified under chapters 1 through 24 of the Harmonized Tariff Schedule.

2. Use of Fund:

   • The Secretary of Agriculture will utilize the funds to provide direct payments to agricultural producers impacted by:
     • Decreased exports.
     • Tariff or non-tariff barriers imposed by foreign countries.
     • Increased costs of production inputs.

3. Reporting Requirements:

   • The Secretary of Agriculture must submit an annual report to Congress within 60 days after the end of each fiscal year detailing:
     • Total revenues deposited into the TRADE Fund.
     • Economic impacts on agricultural producers due to trade disruptions.
     • Summary of assistance provided to affected producers.

4. Termination of Authority:

   • The provisions of this bill will terminate on September 30, 2030. Any unobligated balances in the TRADE Fund at that time will be permanently rescinded.

Impact

• Who Will Be Affected:

  • The bill primarily targets agricultural producers who face challenges due to international trade dynamics. This includes farmers and livestock producers who may experience financial losses due to reduced market access or increased operational costs.

• Economic Support:

  • By establishing the TRADE Fund, the bill aims to provide a safety net for agricultural producers, helping them to mitigate the financial impacts of trade-related disruptions.

Legislative Process

• Committee Referrals:
  • Upon introduction, HR 3982 was referred to the Committee on Ways and Means and the Committee on Agriculture for further consideration.

This summary provides an overview of HR 3982, highlighting its purpose, key provisions, and potential impacts on agricultural producers in the United States. The establishment of the TRADE Fund represents a proactive approach to addressing the challenges posed by international trade dynamics.