Minnesota soybean farmers concerned with escalating potential trade war with China
Trade war: Farmers worried about fallout
As President Trump pushes ahead with his tariffs policy, farmers are worried as China announced it would levy its own tariffs in response.
(FOX 9) - Minnesota soybean growers are voicing concerns over the uncertainty of the situation ahead of planting season.
Trump advisors said their strategy of using tariffs as a tool is already working. The administration said more than 50 countries have reached out for tariff talks.
Growing concern ahead of planting season
The backstory:
There is growing uncertainty for Minnesota’s soybean farmers as America’s trading partners scramble to respond to President Donald Trump’s sweeping tariffs.
In retaliation, China announced it would match the latest 34% tax and impose the same levy on all U.S. imports.
What they're saying:
The Minnesota Soybean Growers Association, a nonpartisan organization, said they have reason for concern after seeing what happened as a result of the 2018 trade war with China. The association said U.S. agriculture experienced massive losses and soybeans were the hardest hit.
The organization said soybeans are Minnesota’s top agricultural export. Currently, roughly one in four of the state’s soybeans gets sent to China.
In a statement, the association’s President, Darin Johnson, said, "To damage those relationships that we’ve spent decades building would be devastating to not just farmer profitability, but rural and urban communities across Minnesota. We’ve already seen that no one wins in a trade war. While we gear up for the upcoming planting season, we strongly urge the administration to work with our trading partners to de-escalate the situation in a timely fashion."
The American Soybean Association acknowledged the Trump administration’s goal to achieve greater fairness in U.S. trading relationships but also urged them "to quickly pursue agreements with priority countries so as to open market opportunities for U.S. agriculture and minimize the potential for retaliation."
Agriculture Secretary Brooke Rollins defended the administration’s long-term vision.
"This will be a short time of uncertainty, and then we'll move back to the prosperity that this president has envisioned, that he is so bold, so willing to fight for. And I couldn't be more proud and stand next to him. The new Golden age of prosperity will move in again. For me, I'm really focused on our farmers and ranchers and that's what we'll continue to focus on. But it will reach every corner of America," said Rollins.
Pres. Trump on China trade war
President Donald Trump defended his tariffs policy as China levied its own retaliatory tariffs on Sunday.
What's next:
A baseline tariff on all countries kicked in over the weekend.
China said its tariff will take effect Thursday, just one day after Trump’s individualized, matching tariff is scheduled to kick in.
The Source: The White House, Associated Press, Minnesota Soybean Growers Association, American Soybean Association.