Jump to content
Sign in to follow this  
TrojanDad

Another Promise Kept....US China Trade Deal

Recommended Posts

9 minutes ago, TrojanDad said:

Looks like another promise kept.........first NAFTA, now China.....

https://www.wsj.com/articles/u-s-china-to-sign-deal-easing-trade-tensions-11579087018

It's a great deal for China. It sucks for American farmers, who sold $24 billion worth of soybeans to China in 2017 before Trump started his trade war. Now China promises to buy $12 billion in the first year, $19 billion the second year under the "trade deal". It's a lose-lose for our farmers. And there are a lot of them who are not happy.

Share this post


Link to post
Share on other sites

Share this post


Link to post
Share on other sites
10 hours ago, gonzoron said:

It's a great deal for China. It sucks for American farmers, who sold $24 billion worth of soybeans to China in 2017 before Trump started his trade war. Now China promises to buy $12 billion in the first year, $19 billion the second year under the "trade deal". It's a lose-lose for our farmers. And there are a lot of them who are not happy.

Guess Iowa farmers are different than Indiana farmers.........

https://www.kcci.com/article/trump-signs-trade-deal-with-china-expected-to-boost-us-farmers-and-manufacturers/30535030

Farming is also more than soybeans, correct?  And the hope is that this is Phase 1 and negotions will continue to get more of an overall win win deal in place.

To add some additional context to your comments..........

https://www.cnn.com/2020/01/15/politics/what-the-us-china-trade-deal-means-for-farmers/index.html

China promised to buy billions of dollars more in agricultural products from US farmers as part of a "phase one" trade deal signed Wednesday -- but the commitments don't go much further than making up for what was lost during the trade war.

Agriculture exports to China plummeted when the trade war started in 2018, falling by about $21 billion. They edged up a bit last year, but remained far below the 2017 level.
The agreement stipulates that China will make purchases far in excess of what it bought in 2017, totaling $32 billion over the next two years. It provides for $12.5 billion in 2020 and $19.5 billion in 2021.
That's when the specific promises end, but according to the agreement, the parties "project that the trajectory of increases" will continue through 2025.
The announcement was welcomed by farmers who have been reeling from the trade war, but agriculture trade groups emphasized that there is more work to do.
American Farm Bureau President Zippy Duvall called the agreement an "important step" to getting the Chinese market back for farmers.
"China was once the largest market for US agricultural products but has dropped to fifth largest since retaliatory tariffs were introduced. This agreement will help turn around two years of declining agricultural exports," he said in a statement.
A spokeswoman for Farmers for Free Trade, Michelle Erickson-Jones, was skeptical that China would follow through on those promises since Beijing has not agreed to lift the tariffs on American-grown produce, which makes it more expensive to Chinese importers than what they can buy from other countries.
"We will see whether Phase One takes steps to dig out from the hole the trade war created or whether like previous ag purchase promises it is all talk," Erickson-Jones said in a statement.
She was also concerned that the agreement doesn't open the Chinese market to free trade and instead "makes American farmers increasingly reliant on Chinese state-controlled purchases."
The US is currently sitting on a record number of soybeans in storage, but that doesn't necessarily mean China can buy them all up at once. Since the trade war began, the country started purchasing more soybeans from Brazil instead of the United States.
A $28 billion bailout from the Trump administration has served as a lifeline for farmers hurt by the trade war. Those affected by Beijing's tariffs received direct payments from the government to help make up for some of their losses.
In addition to committing to make specific purchases of American product, China also agreed to establish time frames for its food regulatory process, as well as increase transparency about its process for evaluating products of agricultural biotechnology. American farmers have complained that the Chinese regulatory processes have limited their imports.
It also broadens the list of meat, poultry, rice, seafood, and pet food products allowed to be imported into China.
 
The agreement signed Wednesday is considered a phase one deal, and negotiators will continue talks to reach a second phase.  Brian Duncan, a farmer in Polo, Illinois, said he's hoping that second deal will go further to opening up the Chinese market, and that exports grow to levels higher than what they were before 2018.
"I hope it results in genuine increases -- that's its sustainable. And it's just not a two-year commitment," Duncan said.

Share this post


Link to post
Share on other sites
7 minutes ago, TrojanDad said:

Guess Iowa farmers are different than Indiana farmers...

They have a reason to be. They've cost the taxpayers the most by receiving the biggest "bailout" in this China trade fiasco.

Iowa farmers snag $767 million so far in Trump's 2019 bailout, the most nationally

https://www.desmoinesregister.com/story/money/agriculture/2019/11/25/iowa-farms-snag-largest-share-trade-payments-new-round/4264412002/

  • Like 1

Share this post


Link to post
Share on other sites
1 hour ago, DanteEstonia said:

Tough news for those folks......just not sure this one source is a representative sample.

Overall, Indiana does pretty darn good when it comes to manufacturing jobs.  Check the overall trends Dante.

https://www.globaltrademag.com/top-10-states-for-manufacturing-2019/

 

Share this post


Link to post
Share on other sites
26 minutes ago, gonzoron said:

They have a reason to be. They've cost the taxpayers the most by receiving the biggest "bailout" in this China trade fiasco.

Iowa farmers snag $767 million so far in Trump's 2019 bailout, the most nationally

https://www.desmoinesregister.com/story/money/agriculture/2019/11/25/iowa-farms-snag-largest-share-trade-payments-new-round/4264412002/

I thought we were talking trade deal with China, not Trump bailouts....

  • Haha 1

Share this post


Link to post
Share on other sites
7 minutes ago, TrojanDad said:

I thought we were talking trade deal with China, not Trump bailouts....

They are most assuredly related. 

  • Like 3

Share this post


Link to post
Share on other sites

https://beef2live.com/story-top-10-export-destinations-soybeans-0-122616

The United States has exported 46.7 million metric tons of soybeans so far in 2019, up 10.8% from last year.

The United States has exported the most soybeans so far in 2019 to China followed by the EU-28 and Mexico.

U.S. soybean exports to China are up 144% so far in 2019.

291c8959.PNG

 

 

  • Like 1

Share this post


Link to post
Share on other sites
1 hour ago, swordfish said:

https://beef2live.com/story-top-10-export-destinations-soybeans-0-122616

The United States has exported 46.7 million metric tons of soybeans so far in 2019, up 10.8% from last year.

The United States has exported the most soybeans so far in 2019 to China followed by the EU-28 and Mexico.

U.S. soybean exports to China are up 144% so far in 2019.

291c8959.PNG

 

 

Image result for us soybean exports to china under Obama

Soybeans alone:

Image result for Soybean exports to china by Brazil

 

Edited by gonzoron
  • Like 2

Share this post


Link to post
Share on other sites
Sign in to follow this  

×
×
  • Create New...