Chinese Tariffs on U.S. Agriculture Affect Farmers

The president is using American farmers to bargain with, but at the end of the day, we are the ones that are hurting.

Virginia-based farmer John Boyd Jr. regarding his experience on China’s retaliatory tariffs.

Why It Matters: Recently, the U.S. increased tariffs on most goods coming from China. In response, China announced additional tariffs on U.S. agriculture goods. U.S. farmers say they are feeling the impact of China’s retaliatory tariffs.

• China enacted levies of 15% on chicken, wheat, corn and cotton and an extra 10% on soybeans, pork, beef, seafood, vegetables, dairy and fruit. China is the largest market for these products.
• Agricultural products that arrive in China before April 12 from the U.S. will not be impacted.
• As prices increase, there’s a chance locals will turn to other products and, in turn, American farmers could lose their market share.
• “U.S. buyers of these goods are going to face relatively cheaper goods. But the problem is that U.S. demand is nowhere near large enough to compensate for the decline in Chinese demand,” said Jaya Wen, a professor of business and international economy at the Harvard Business School. (Marketplace)

Something To Consider: President Donald Trump has stated that his decision to impose tariffs with various countries aims to raise money for the Treasury, encourage companies and industries to relocate to the U.S. and force countries to better secure borders relating to immigration and drug trafficking.

Read More: China’s retaliatory tariffs on agricultural goods will squeeze farmers (Marketplace)

China’s retaliatory tariffs are a direct hit to U.S. farmers (CBS News)

China strikes back at Trump tariffs with 15% levies targeting US farmers (AP)