china phase one

Hopeful for Constructive Trade Talks with China

Dan Exports/Imports, Industry News Release, Trade

trade talks

An American Farm Bureau Federation (AFBF) official says President Trump’s decision to delay much of his latest tariff threat against China is a hopeful sign constructive trade talks can re-start. AFBF trade adviser Dave Salmonsen hopes the delay to December 15 in Trump’s 10-percent duty on some Chinese electronics, footwear and clothing, will do more than just avert higher holiday shopping costs—the reason the president cites for the move.

“We hope that the result, from an Ag point-of-view, is that the negotiations can begin…that, this shows there’s flexibility on the U.S. side, China can react to that…and of course, that China at some point, will change their announcement of a little-bit-ago, where they’re not buying U.S. ag products, and they’ll get back into purchasing from U.S. farmers and ranchers.”

Salmonsen is now more hopeful than he was when the president announced the new tariff at the start of August.

“I would think there’s opportunity for the Chinese government to reevaluate the approach of the U.S. We heard, there was a call earlier this week, between both sides. There was a scheduled meeting, early in September…a Chinese delegation to come to the U.S. Let’s certainly hope that that occurs.”

Salmonsen says the latest dialogue and delay in duties on two-thirds of remaining untaxed Chinese goods, raises hopes the September meeting will still occur.

The positive news is a welcome sign to U.S. producers, desperate for normalized trade with China, after losing billions in sales of soybeans, pork, corn, ethanol and other goods.

Source: National Association of Farm Broadcasters