U.S.-China Trade Framework: What We Know Now
By Faith Parum, Ph.D.
Deputy Chief Economist, American Farm Bureau Federation
Key Takeaways:
- China's new "30-for-30" trade framework includes major U.S. agricultural products like beef, pork, poultry, dairy, corn, wheat, rice, sorghum, and specialty crops, excluding whole soybeans.
- The roughly $30 billion figure represents the value of products covered by the framework. Lower tariffs can enhance competitiveness but don't guarantee sales.
- Farmers' and ranchers' benefits will depend on tariff reductions, implementation speed, and resolution of non-tariff market access barriers.
Tariff Reductions and Agricultural Products
The United States and China have taken another step towards easing trade barriers, each identifying roughly $30 billion in goods for tariff reductions. This list comes from the newly established U.S.-China Board of Trade.
For U.S. agriculture, the agreement covers a wide range of products, from beef and pork to corn, wheat, dairy, and specialty crops. However, this is not a purchase commitment. Several import barriers beyond tariffs remain, which will need to be addressed for farmers to fully benefit from this framework.