New trade developments with China could create expanded opportunities for U.S. agriculture, including specialty crop producers, according to USDA Under Secretary for Trade and Foreign Agricultural Affairs Luke Lindberg.
Speaking with AgNet Media, Lindberg said the new “30 for 30” framework between the United States and China builds on previous agreements covering U.S. soybeans and billions of dollars in additional agricultural purchases.
“What this one does is it really formalizes the tariff reductions that are going to allow us to achieve those two outcomes and goals,” Lindberg said.
According to Lindberg, about 90 percent of the goods listed on the U.S. side of the framework going to China are agricultural products. He pointed to opportunities for livestock, row crops, forestry products, vegetables, fruits and nuts.
USDA is also preparing to take a trade delegation to China, where producer groups and agribusinesses will meet with potential buyers and showcase U.S. products at a major trade show in early November.
Lindberg said the opportunities extend well beyond traditional bulk commodities.
“We’re excited about everything from tomatoes and peppers and cucumbers,” Lindberg said. “We’re going to see, I think, opportunities we’ve talked about with grapes, peaches, strawberries, blueberries, almonds, pistachios, walnuts.”
Removing Barriers for Specialty Crop Exports
The conversation also focused on USDA’s Assisting Specialty Crop Exporters program, which is aimed at addressing technical and regulatory barriers that can limit access to overseas markets.
Lindberg said USDA is reinvesting in the program to help specialty crop producers overcome non-tariff barriers, including differences in scientific and regulatory standards between countries.
Those differences can be particularly important when it comes to maximum residue limits and other standards governing agricultural products. Lindberg said conflicting standards can increase the “friction of trade” and, in a worst-case scenario, result in a shipment being rejected at a foreign port—a particularly costly outcome for perishable crops.
USDA is working with foreign governments to encourage standards that align with international best practices and provide U.S. producers with a level playing field.
Looking Beyond China
While China remains a major agricultural market, Lindberg emphasized USDA’s broader effort to diversify export destinations.
He identified Vietnam and Southeast Asia as areas with significant growth potential. USDA plans to take a large delegation to Vietnam in early November, with Lindberg pointing to growing purchasing power and record U.S. exports in several product categories.
Lindberg also highlighted Taiwan as an important opportunity for specialty crops, saying a recent trade agreement is expected to remove tariffs from nearly all U.S. agricultural products entering that market.
The administration is also focused on reducing the U.S. agricultural trade deficit. Lindberg said USDA had been forecasting a roughly $50 billion agricultural trade deficit when the administration took office and said that figure has since been cut roughly in half.
“We’re going to continue to see positive momentum on that front as we take advantage of the new market opportunities the president has created around the world through many of his trade negotiations and trade deals,” Lindberg said.