A Chinese state news agency says the country will lift punitive tariffs imposed on U.S. soybeans and pork. Both China and the U.S. have made conciliatory gestures ahead of upcoming negotiations that will hopefully lead to an end to the trade war between the two nations.
The Chicago Tribune says China will suspend tariff hikes on soybeans, pork, and some other farm goods. The Chinese Commerce Ministry says Beijing also supports “domestic companies in purchasing a certain amount of U.S. farm produce,” but didn’t give out any specific details.
A release from the National Pork Producers Council says, “If media reports are accurate, this is a most welcome development.” The Chinese have placed punitive tariffs of 60 percent on most U.S. pork products, bringing the effective tariff rate for most U.S. pork to 72 percent.
NPPC President David Herring says, “U.S. pork exports could singlehandedly make a huge dent in the trade imbalance with China. When you consider that China is the largest producer and consumer of pork in the world, the importance of this market to U.S. pork producers is clear.”