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Tariffs & Trade War Leading To Lost Income & Exports
“Trade Wars Are Inherently Destructive” & If “Tariffs Stay In Place, We’ll Lose That Market”

(Source: Farm Policy, Twitter, 7/16/18)

Economists Argue That Farmers Are Being Hit Hard By Trade War:

Purdue University Northwest Economics Professor Anthony Sindone: “The Tariffs Will Offset Whatever Gains We Received From The Corporate Tax Cut.  Incomes Will Go Down And Jobs Will Be Lost, And We Haven’t Even Seen All The Tariffs Yet.” (Karen Caffarini, “As Tariffs Begin, Northwest Indiana Auto Workers And Farmers Share Concerns,” Post-Tribune, 7/10/18)

University Of Wisconsin-Madison Agronomy Professor Shawn Conley: “Not Today, Not Tomorrow, But Five To Seven Years From Now, If These Tariffs Stay In Place, We’ll Lose That Market.  This Is Econ 101: Once You Lose A Market, [It’s] Very Difficult To Get That Market Back.” (Hope Kirwan, “Wisconsin Farmers Plant Record Amount Of Soybeans As New Tariffs Loom,” Wisconsin Public Radio, 7/6/18)

N.C. State University Professor Blake Brown: “Agriculture Is A Major Part Of Our Economy, And Exports Play An Important Role In That.” (Harrison Miller, “Trade War Uncertainty Causes Worry For N.C. Farm Economy,” Triangle Business Journal, 7/9/18)

North Carolina State University Professor Emeritus Of Economics Thomas Grennes: “Trade Wars Are Inherently Destructive.  They Interfere With Voluntary Exchange, One Of The Fundamental Forms Of Human Cooperation.  Both Parties Lose Trade Wars.” (Thomas Grennes, “There’s No Way To Win A Trade War,” The News & Observer, 7/16/18)

Ohio Ag Economist Matt Roberts: “From What I Have Heard, [The Crops] Are In Very Good Shape But Prices Have Fallen Quite A Lot In The Last Two Months.” (JD Malone, “Ohio Farmers Primed For Big Harvests, But Tariffs, NAFTA Cut Crop Prices,” Columbus Dispatch, 7/14/18)

Iowa State University Ag Economist Dermot Hayes: “It Is The Pork Farmer Who Suffers.” (Tom Polansek, “Trade War Puts The Hoof Into U.S. Pig Part Exports To China,” Reuters, 7/17/18)

Because Of Tariffs, U.S. Soybean Exporters Are Losing Access To Their Markets Despite Lower Prices:

 (Source: Financial Times)

U.S. Soybean Prices – With Tariffs – Are Approaching Parity With Brazilian Soybean Prices, Which Are Currently $66.10 Higher. (Emiko Terzono, “US-China Dispute Sends Brazilian Soyabean [Sic] Premiums To 4-Year High,” Financial Times, 7/18/18)

  • “US Soyabean [Sic] Prices Plus The Tariffs And Freight To China Were Approaching Parity With Brazilian Soyabeans [Sic] And Shipping Costs, Limiting A Further Move Upwards On The Premium Unless There Was A Dramatic Shift In Chinese Demand.” (Emiko Terzono, “US-China Dispute Sends Brazilian Soyabean [Sic] Premiums To 4-Year High,” Financial Times, 7/18/18)
  • Brazilian Soybean Premiums Have Reached Their Highest Levels Since September 2014. (Emiko Terzono, “US-China Dispute Sends Brazilian Soyabean [Sic] Premiums To 4-Year High,” Financial Times, 7/18/18)

The USDA Has Decreased Its Outlook For 2018 American Soybean Exports From 103 Million To 95 Million Tons, A Decrease Of Nearly 11 Percent, But Has Increased The Outlook For Brazilian Soybean Exports To A Record 75 Million Tons. (Emiko Terzono, “US-China Dispute Sends Brazilian Soyabean [Sic] Premiums To 4-Year High,” Financial Times, 7/18/18)

The USDA Has Reported More Than 830,000 Tons Of U.S. Soybean Exports To China Have Been Canceled Since April, In Comparison To A Total Of 170,000 Tons Of Exports Canceled In All Of 2017. (Emiko Terzono, “US-China Dispute Sends Brazilian Soyabean [Sic] Premiums To 4-Year High,” Financial Times, 7/18/18)

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