China imposing tariffs on U.S. ag products
On July 6, the United States and China began assessing tariffs on imports from each other, according to published reports. The U.S. started collecting duties on a range of industrial machinery and other manufactured items imported from China. China placed tariffs on imports of a variety of agricultural products from the U.S.
According to published reports, among the Georgia-grown agricultural products targeted by China’s tariffs are meat (including beef, pork and chicken), fruit (apples, peaches and blueberries), grains (wheat, corn, soybeans), pecans and cotton. A more extensive list can be viewed at http://www.businessinsider.com/china-trade-war-tariff-product-list-fish-soybeans-pork-cars-coal-2018-7
Soybean growers could be hit especially hard by the imposition of duties on their Chinese customers.
“Soybeans are the top agriculture export for the United States, and China is the top market for purchasing those exports,” said American Soybean Association (ASA) President John Heisdorffer. “The math is simple. You tax soybean exports at 25-percent, and you have serious damage to U.S. farmers.”
According to the ASA, the value of U.S. soybean exports to China has grown 26-fold in 10 years, from $414 million in 1996 to $14 billion in 2017. Since talk of the tariffs began back in March, U.S. soy prices have dropped more than $2.00 per bushel.