The Court of International Trade hears oral arguments today in a lawsuit challenging the Trump administration's Section 301 tariffs on 60 economies — levies that now carry rates of 10% to 12.5% and directly affect the cost structure of imported farm inputs and food products.

The case, brought by the Liberty Justice Center, targets the tariffs the administration imposed after the Supreme Court rebuked its earlier use of the International Emergency Economic Powers Act, or IEEPA, for global tariffs. The administration then reimposed those levies under Section 122 for 150 days while the Office of the U.S. Trade Representative ran a sweeping investigation at what critics call breakneck speed, ensuring no gap in the tariff agenda. The new Section 301 measures punish 60 economies for allegedly failing to prevent imports of goods made with forced labor.

"The Liberty Justice Center does not dispute that forced labor is wrong or that governments should combat it. Rather, the case argues that this important goal does not permit the executive branch to disregard the limits Congress imposed on Section 301," the organization's press release said. For agricultural importers and exporters, the outcome will determine whether the 10%-12.5% rates survive judicial scrutiny or collapse the way the IEEPA tariffs did.

USDA reorganization injunction decision expected within days

A federal judge in San Francisco says he will decide "in a day or so" whether to at least temporarily block USDA's reorganization. U.S. District Judge Vince Chhabria told attorneys at a Tuesday hearing he had not yet determined whether to grant a preliminary injunction halting the department's plan to restructure multiple programs and relocate employees out of the National Capital Region.

Chhabria directed lawyers for USDA and the federal employee unions to begin negotiating language for a possible injunction tailored specifically to union employees. He added that if he grants one, he probably would not stay it — meaning the government would likely seek relief from the 9th Circuit Court of Appeals.

The lawsuit, filed in the Northern District of California, challenges the legality of the reorganization itself. Two weeks ago, Chhabria barred USDA from proceeding with reorganization efforts through Oct. 2 to give both sides time to file briefs.

Stallman attacks Paxton in Houston Chronicle op-ed

Bob Stallman, former president of both the American Farm Bureau Federation and the Texas Farm Bureau, published a scathing opinion piece in the Houston Chronicle on Sunday attacking Ken Paxton, the GOP candidate for U.S. Senate in Texas. Stallman wrote that Paxton lacks the moral fitness to serve and that he would not vote for him.

"Ken Paxton has the morals of a lizard, and that is probably being unkind to lizards," Stallman wrote. "He has proven to be corrupt. He has lied, cheated openly on his ex-wife and stolen."

Stallman also criticized Texas Farm Bureau for endorsing Paxton. "The bureau neglected to mention that Paxton has failed to publicly oppose a variety of policies that are actively harming farmers and ranchers, including the war in Iran and the import of foreign, unregulated beef into our state," he wrote. He noted that James Talarico, the Democratic nominee, does eat beef, despite Paxton's claim that his opponent is a vegan.

Biodiesel credit extension introduced

Sens. Chuck Grassley, R-Iowa, and Amy Klobuchar, D-Minn., unveiled bipartisan legislation Tuesday to extend the Small Agri-Biodiesel Producer Credit through 2029. The credit — 20 cents a gallon on the first 15 million gallons of production — is available to companies producing up to 60 million gallons of biodiesel annually from domestic agricultural feedstocks. Without congressional action, it expires Dec. 31.

"Small biodiesel producers are making an outsized contribution to America's energy security right now, producing lower-cost, drop-in distillate fuel that's needed to keep the economy moving," says Kurt Kovarik, vice president of federal affairs at Clean Fuels Alliance America.

Both sponsors sit on the Senate Ag Committee. "Iowa is home to many small and independent biodiesel producers, and for these plants, the Small Agri-Biodiesel Producer Credit has been a lifeline," says Grant Kimberley, executive director of the Iowa Biodiesel Board. "It helps them weather tough markets, keep their doors open and keep people employed in rural communities across our state."

Senate passes prescribed fire bill

The Senate passed by unanimous consent the Wildfire Emissions Prevention Act, sponsored by Sens. John Curtis, R-Utah, and Alex Padilla, D-Calif. The bill would make it easier for states and local communities to use prescribed fires — controlled burns — as a land-management tool to prevent catastrophic wildfires. It now moves to the House.

"California is no stranger to devastating wildfires — and we cannot afford to wait until the next fire starts to take action," Padilla says. "Prescribed fire is one of the most effective tools we have to confront the growing impacts of the wildfire crisis."

AI safety bill stalls on Senate floor

A Democratic bill to set enforceable safety standards for artificial intelligence systems failed to pass by unanimous consent after Sen. Ted Cruz, R-Texas, objected. "We need to, as with any technology, have rules. But those rules should be bipartisan, and they should be measured and prudent. I don't believe we're there yet," Cruz said.

Sen. Mark Warner, D-Va., urged action on the floor: "I remain an AI optimist. I am not an AI doomer, but we are at a moment in time, over the last few weeks, where I think the whole world has recognized that we've got to do something."

With the biodiesel credit set to lapse Dec. 31, a Chhabria ruling possible this week and tariff arguments underway today, the next several days will test how much policy certainty producers and processors can count on heading into the fourth quarter.