Trade War: ASA Says Long-Term Consequences to Intensify

Soybean farmers seek a resolution to the trade war between the U.S. and China, warning long-term impacts of the conflict are harming farmers. Six months ago, China placed tariffs on U.S. soybeans as part of the tit-for-tat trade war. While China has begun some purchases of U.S. soybeans, and trade talks are ongoing, the American Soybean Association points out that U.S. soybean growers have faced a nearly 20 percent drop in soy prices since the threat of tariffs began last summer. ASA president Davie Stephens of Kentucky says: “We cannot withstand another six months,” noting farmers “need stability returned to the market.” The value of U.S. soybean exports to China has grown 26-fold in ten years, from $414 million in 1996 to $14 billion in 2017. China imported 31 percent of U.S. production in 2017, equal to 60 percent of total U.S. exports and nearly one in every three rows of harvested beans.