US-China tariff dispute is putting farmers out of business
According to the American Dairy Export Council, president and CEO Tom Vilsack said that the ongoing tariff conflict between USA and China is pushing farmers out of the business. The United States Department of Agriculture reported that about 3,000 dairy farms have quit the business in the year 2018.
“There is numerous reason, but the tariffs are biggest one. And thus we require to continue to focus on national consumption and also to take a look at how we essentially price out milk products which are to be able to make sure that farmers acquire a decent return,” he added further.
Recently, the administration of the United States of America imposed a 15% tariff on around $112 billion of Chinese goods. Reportedly, the American Dairy Export Council visited the officials of China last Friday as they try to safeguard their relationship with China after the new tariffs went into effect.
Vilsack stated that “We attempted to explain them the relationship between our two dairy companies, the USA and China market is a significant one to maintain. Therefore, we provided some help for their pork industry which has been collapsed by African swine fever. Mr. Vilsack hopes that be helping to rebuild the hog industry of China will offer China the big incentive to help his market avoid retaliatory tariffs.
“We are going to follows this along with the letters to the Ministry of Agriculture, Ministry of Finance and Commerce in the hopes that they will consider our offer and search for opportunities that firmly operate through and around the reprisal tariffs.”
Mr. Vilsack elaborated that why the ratification of the USMCA trade deal will help the farmers of the United States. They cannot wait for the ratification of that deal as it is going to commence opportunities for us in Canada and also preserve our market in Mexico, he said.