A leading U.S. agricultural economist suggests that the trade issues with China serve as a vehicle for negotiations.
Purdue University agricultural economist Chris Hurt says China may be simply signaling the U.S. that the nation wants to negotiate, just as the U.S. has seemed to signal to China in crafting the tariffs. That seems to be the case, too, according to action by some Trump administration officials.
The Wall Street Journal reported over the weekend that U.S. officials were discussing with China several issues, from finance to manufacturing, which could ease trade tensions.
Hurt points to the proposed tariffs on U.S. soybeans in response to the U.S. tariffs on aluminum and steel as a signal of negotiation. He says that China needs U.S. soybeans, and would rather not start a trade war.
The list of proposed tariffs by China on U.S. imports also includes a 25 percent tariff on U.S. pork.
From the National Association of Farm Broadcasting News Service.