Good afternoon,

This week started off rocky with Trump's sweeping actions taking a toll on American jobs, our trade relationships, and more. Yesterday, Trump and his billionaire co-president Elon Musk made moves to shut down the U.S. Agency for International Development (USAID). This is just the latest example of Trump taking broad, sweeping changes to the federal government which will impact countless Americans. This is not how our system of government was set up to run. Just because a president doesn't like or agree with an agency, does not give him the power to immediately eradicate it. The president must be held accountable through checks and balances. It's only a matter of time before he goes after other federal agencies, even some that more directly impact rural Americans. The Consumer Financial Protection Bureau and the Department of Education have been highlighted by some Senate Republicans as the next government agencies Musk plans to raid.

Here are a few important updates ...

DISMANTLING DEI WILL HURT RURAL AMERICANS

Last week, President Donald Trump took executive action to eliminate diversity, equity, and inclusion (DEI) offices and programming within the federal government. The executive order has sparked alarm among large corporations like Meta and Walmart as well as universities across the country. What Trump doesn't understand is that DEI policies have a real positive impact in our society and terminating them will harm Americans, including those in rural areas. To add to the hysteria, the president blamed the horrific plane-helicopter crash in Washington, D.C. on DEI.

Most recently, as a result of the DEI executive order, dozens of employees at the U.S. Department of Education were placed on administrative leave after attending a diversity training course. "A range of positions have been affected, from those who work in the civil rights office to the Federal Student Aid office." The Department is integral to rural communities, providing funding opportunities, technical assistance, and more. Stripping this federal agency of valuable employees will result in fewer educational opportunities and support for rural students. It's been disappointing to watch the new administration take sweeping, extremist actions like this that will have long-term ramifications. Rural America deserves better!

EXECUTIVE ORDER OUTLOOK: TARIFF TURMOIL

A North American trade war has been narrowly avoided after Canada and Mexico struck a last-minute deal with President Trump to pause the 25% tariffs on goods from both countries he plans to implement. Both countries "agreed to take steps toward preventing the trafficking of the deadly opioid fentanyl into the U.S." The vast majority of the "concessions" Trump announced had already been put in place by Mexico and Canada before Trump ever took office, with many dating all the way back to 2021.

Originally, Trump planned to impose 10% tariffs on all imports from China and 25% tariffs on imports from Mexico and Canada. While Mexico and Canada have staved off Trump's harmful policies for the time being, the tariffs on Chinese goods went into effect at 12:01 a.m. ET. It didn't take long for this to backfire as "Beijing struck back with tariffs on U.S. coal, gas, and other goods."

Trump campaigned aggressively on the economy, promising that grocery prices would be lower "immediately," and that he would cut utility bills. Grocery prices have already risen 2.2% since Trump took office, outpacing wage growth for working families. He also vouched to address housing shortages and rising costs of rent and building new homes. Now as a result of his trade policies, Americans may see prices on everyday goods and necessities like food and gas skyrocket. Trump has not only made our two strongest trade partners angry with us; he has rocked the boat with China. Economists are warning that Trump's moves will negatively impact American businesses and consumers.

It remains to be seen how long Americans will remain impatient waiting for Trump's promises to become reality.

WORD OF THE WEEK

De minimus: Lacking significance or importance. This word entered the lexicon this week with the announcement that a tariff exemption for goods entering the United States that were valued at under $800 would end. This will raise consumer prices further and create additional backlogs at customs offices in ports around the country.

NUMBER OF THE WEEK

61.8% – The increase in egg prices in the last month. This had led to shortages and rationing of eggs at many grocery stores. With the FDA and CDC under a gag order, and no plans from the Trump administration to limit this spiraling price increase, consumers better hold tight to their wallets in the weeks ahead.

• Confirmation Hearings are underway for Trump nominees. Some key positions are listed below:

• Thursday, February 6
  • 10 a.m.: Jamieson Greer, United States Trade Representative
    • The hearing will be streamed on the Senate Finance Committee webpage.

• Not Yet Scheduled
  • The failure to deliver background checks and paperwork related to ethic clearances have delayed the scheduling of several nominees of interest, including:
  • Labor Department nominee Lori Chavez-DeRemer

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