Tariff action could quickly heat up and affect soybeans, economists warn

Soy leaders are keeping a close watch on tariff action out of the White House. China is a major buyer of U.S. soybeans, and economists warn the situation could quickly heat up.

“They dominate the global oil seed market and they import more than the rest of the world combined. And in 2018, when those Section 301 retaliatory tariffs went into place, we saw prices drop overnight by $2.00 a bushel and our market share evaporate. You know, USDA’s Economic Research Service put out a study assessing the economic damages done to us as a result of the trade. It showed $27 billion in losses for U.S. ag, and of that amount, our soybeans accounted for 71%,” said Virginia Houston.

President Trump has given both Canada and Mexico a February 1st start date for tariffs. Some ag leaders have warned the plan could backfire, while others support the move as an effort to boost U.S. trade.

Related Stories
Enforceable origin labels could create clearer premiums for U.S. cattle and address concerns some producers have had with competition from foreign imported beef.
A court decision that overturns Enlist labels would remove two major herbicides from use and reshape EPA’s future mitigation policies for other pesticides.
Pasture, Rangeland and Forage (PRF) interval selection—not just participation—drives protection levels as rainfall patterns become less predictable across the South.
If the House concurs and the President signs, USDA services and farm-bill programs resume at full speed with authorities extended for another year.
Experts highlight the importance of monitoring insecticide resistance in crops and improving disease traceability at livestock shows through RFID technology.
Lewie Pugh, with the Owner-Operator Independent Drivers Association, joined us on Monday’s Market Day Report to share his perspective on what the bill could mean for truckers.

LATEST STORIES BY THIS AUTHOR:

RFD-TV tax expert Roger McEowen discusses the renewed tax provision and how cattle producers can take advantage of it to recover investments in heifer retention and herd expansion more quickly.
U.S. Senator Roger Marshall (R-KS) shares his perspective on the U.S.-China trade developments and their potential impact on American producers, farmers, and ranchers.
Rich Nelson, a commodity broker for Allendale Inc., joins us to break down what the U.S.-China trade agreement means for the ag economy.
Rollins will also tour a small soybean operation in Iowa before her appearance at Lucas Oil Stadium.
Tara Vander Dussen, fifth-generation dairy farmer, environmental scientist, and co-host of Discover Ag, joined RFD-TV to talk about her work in agriculture and her passion for sharing the story of dairy.