Food Business News - June 12, 2018 - 24

WASHINGTON

C

oncerns mounted that jolting
swings in U.S. trade policy and the
reaction of trading partners, both
those considered longstanding allies and
those viewed as adversaries in the geopolitical sphere, have brought the world
closer to trade war. The last couple of
weeks in May and the first week of June
saw rapid deterioration in this nation's
trade relationships with Europe, Mexico,
Canada and China.
On May 31, President Donald Trump
imposed increased tariffs on steel and
aluminum imports - 25% on steel and
10% on aluminum - from the European
Union, Canada and Mexico. The E.U. and
the United States' partners in the North
American Free Trade Agreement, Canada
and Mexico, had been exempted from the
increased tariffs that for other countries,
except those who agreed to accept limits
on their exports to the United States,
went into effect in April.
The condition for the exemptions was
that progress had to be made in addressing what the Trump administration said
were legitimate concerns over U.S. national security, which the administration
asserted was endangered by large imports
of steel and aluminum. The E.U. refused to
acknowledge the national security justification for the tariffs and would not agree
to limit its exports to the United States.
The exemptions given Canada and
Mexico were to prod those countries into
agreeing to a new NAFTA that would
include a provision requiring the agreement be renegotiated every five years.
This provision was a deal breaker for
both the Canadian and Mexican governments. The impasse in the NAFTA talks
triggered Trump's decision to impose the
tariffs on Canada and Mexico as well.
The E.U., Canada and Mexico
24

Food Business News

indicated they would retaliate by imposing tariffs on U.S. goods roughly equivalent to the value of their aluminum and
steel exports to the United States.
The E.U. earlier issued a 10-page
list of U.S. imports that would be subject
to increased tariffs in the event the
United States lifted its exemption to the
increased tariffs on steel and aluminum shipped to the United States. Corn
and rice were among U.S. agricultural
exports targeted.
The Canadian government said
it would impose surtaxes or similar
trade-restrictive countermeasures
against up to C$16.6 billion ($12.9 billion)
in imports of steel, aluminum and other
products from the United States. The
Canadian list of target products included
agricultural products, including some
dairy products, but emphasized industrial and other products.
The Mexican government said,
"Faced with tariffs imposed by the United
States, Mexico will impose equivalent
measures to various products such as
flat steel, lamps, pork legs and shoulders,
sausages and food preparations, apples,
grapes, blueberries, various cheeses,
among others, up to an amount comparable to the level of affectation."
China's aluminum and steel exports
to the United States were subjected to increased tariffs in April. China's retaliation
included a 25% tariff on U.S. pork products.
President Trump since threatened
to impose tariffs on an additional $50
billion worth of Chinese products if talks
between the two nations did not produce
an agreement that would reduce the U.S.
trade deficit with that country. The latest
of a series of high-level negotiations ended
last week with no agreement in sight.
Jim Heimerl, president of the

©GGUY - STOCK.ADOBE.COM

Trade war looms
as multi-front
talks founder
National Pork Producers Council and a
pork producer from Johnstown, Ohio,
reacted to Mexico's decision to impose
increased tariffs on U.S. pork products,
saying, "The toll on rural America from
escalating trade disputes with critically
important trade partners is mounting.
Mexico is U.S. pork's largest export
market, representing nearly 25% of all
U.S. pork shipments last year. A 20%
tariff eliminates our ability to compete
effectively in Mexico."
Vince Peterson, president of U.S.
Wheat Associates, added, "It is dismaying to see that common sense has not yet
prevailed in preventing these protectionist
measures. We've spent decades in critical
markets like Mexico, Japan, Europe and
others because we're committed to a lasting
trading relationship between their milling
and processing sectors and our farmers. If
this administration isn't careful, decades of
efforts by our farmers could be wasted.
"If this approach doesn't change,
U.S.W. worries that the ambitious bilateral trade agreement agenda, which was
promised and which we all look forward
to, will never get off the ground because
no country will be willing to take the
political risks needed to negotiate an
agreement with the United States."
Even as the ramifications of the
recent trade actions were being considered, the Department of Commerce, at
the direction of President Trump, has
launched a Section 232 investigation into
whether the imports of automobiles
and parts also constitute a threat to the
national security of the United States,
which could signal a new stage in what
may be an unfolding trade war. FBN
Jay Sjerven
jsjerven@sosland.com
June 12, 2018


http://STOCK.ADOBE.COM

Table of Contents for the Digital Edition of Food Business News - June 12, 2018

http://digital.foodbusinessnews.net/sosland/fbn/2019_05_14
http://digital.foodbusinessnews.net/sosland/fbn/2019_04_30
http://digital.foodbusinessnews.net/sosland/fbn/2019_04_16
http://digital.foodbusinessnews.net/sosland/fbn/2019_04_02
http://digital.foodbusinessnews.net/sosland/fbn/2019_03_19
http://digital.foodbusinessnews.net/sosland/fbn/2019_03_05
http://digital.foodbusinessnews.net/sosland/fbn/2019_02_19
http://digital.foodbusinessnews.net/sosland/fbn/2019_02_05
http://digital.foodbusinessnews.net/sosland/fbn/2019_01_22
http://digital.foodbusinessnews.net/sosland/fbn/2019_1_8
http://digital.foodbusinessnews.net/sosland/fbn/2018_12_25
http://digital.foodbusinessnews.net/sosland/fbn/2018_12_11
http://digital.foodbusinessnews.net/sosland/fbn/2018_11_27
http://digital.foodbusinessnews.net/sosland/fbn/2018_11_13
http://digital.foodbusinessnews.net/sosland/fbn/2018_10_30
http://digital.foodbusinessnews.net/sosland/fbn/2018_10_16
http://digital.foodbusinessnews.net/sosland/fbn/2018_10_02
http://digital.foodbusinessnews.net/sosland/fbn/2018_09_18
http://digital.foodbusinessnews.net/sosland/fbn/2018_09_04
http://digital.foodbusinessnews.net/sosland/fbn/2018_08_21
http://digital.foodbusinessnews.net/sosland/fbn/2018_08_07
http://digital.foodbusinessnews.net/sosland/fbn/2018_07_24
http://digital.foodbusinessnews.net/sosland/fbn/2018_07_10
http://digital.foodbusinessnews.net/sosland/fbn/2018_06_26
http://digital.foodbusinessnews.net/sosland/fbn/2018_06_12
http://digital.foodbusinessnews.net/sosland/fbn/2018_05_29
http://digital.foodbusinessnews.net/sosland/fbn/2018_05_15
http://digital.foodbusinessnews.net/sosland/fbn/2018_05_01
http://digital.foodbusinessnews.net/sosland/fbn/2018_04_17
http://digital.foodbusinessnews.net/sosland/fbn/fbn_2018_04_03
http://digital.foodbusinessnews.net/sosland/fbn/2018_03_20
http://www.nxtbook.com/sosland/fbn/2018_03_06
http://www.nxtbook.com/sosland/fbn/2018_02_20
http://www.nxtbook.com/sosland/fbn/2018_02_06
http://www.nxtbook.com/sosland/fbn/2018_01_23
http://www.nxtbook.com/sosland/fbn/2018_01_09
http://www.nxtbook.com/sosland/fbn/2017_12_26
http://www.nxtbook.com/sosland/fbn/2017_12_12
http://www.nxtbook.com/sosland/fbn/2017_11_28
http://www.nxtbook.com/sosland/fbn/2017_11_14
http://www.nxtbook.com/sosland/fbn/2017_10_31
http://www.nxtbook.com/sosland/fbn/2017_10_17
http://www.nxtbook.com/sosland/fbn/2017_10_03
http://www.nxtbook.com/sosland/fbn/2017_09_19
http://www.nxtbook.com/sosland/fbn/2017_09_05
http://www.nxtbook.com/sosland/fbn/2017_08_22
http://www.nxtbook.com/sosland/fbn/2017_08_08
http://www.nxtbook.com/sosland/fbn/2017_07_25
http://www.nxtbook.com/sosland/fbn/2017_07_11
http://www.nxtbook.com/sosland/fbn/2017_06_27
http://www.nxtbook.com/sosland/fbn/2017_06_13
http://www.nxtbook.com/sosland/fbn/2017_05_30
http://www.nxtbook.com/sosland/fbn/2017_05_16
http://www.nxtbook.com/sosland/fbn/2017_05_02
http://www.nxtbook.com/sosland/fbn/2017_04_18
http://www.nxtbook.com/sosland/fbn/2017_04_04
http://www.nxtbook.com/sosland/fbn/2017_03_21
http://www.nxtbook.com/sosland/fbn/2017_03_07
http://www.nxtbook.com/sosland/fbn/2017_02_21
http://www.nxtbook.com/sosland/fbn/2017_02_07
http://www.nxtbook.com/sosland/fbn/2017_01_24
http://www.nxtbook.com/sosland/fbn/2017_01_10
http://www.nxtbook.com/sosland/fbn/2016_12_27
http://www.nxtbook.com/sosland/fbn/2016_12_13
http://www.nxtbook.com/sosland/fbn/2016_11_29
http://www.nxtbook.com/sosland/fbn/2016_11_15
http://www.nxtbook.com/sosland/fbn/2016_11_01
http://www.nxtbook.com/sosland/fbn/2016_10_18
http://www.nxtbook.com/sosland/fbn/2016_10_04
http://www.nxtbook.com/sosland/fbn/2016_09_20
http://www.nxtbook.com/sosland/fbn/2016_09_06
http://www.nxtbook.com/sosland/fbn/2016_08_23
http://www.nxtbook.com/sosland/fbn/2016_08_09
http://www.nxtbook.com/sosland/fbn/2016_07_26
http://www.nxtbook.com/sosland/fbn/2016_07_12
http://www.nxtbook.com/sosland/fbn/2016_06_28
http://www.nxtbook.com/sosland/fbn/2016_06_14
http://www.nxtbook.com/sosland/fbn/2016_05_31
http://www.nxtbook.com/sosland/fbn/2016_05_17
http://www.nxtbook.com/sosland/fbn/2016_05_03
http://www.nxtbook.com/sosland/fbn/2016_04_19
http://www.nxtbook.com/sosland/fbn/2016_04_05
http://www.nxtbook.com/sosland/fbn/2016_03_22
http://www.nxtbook.com/sosland/fbn/2016_03_08
http://www.nxtbook.com/sosland/fbn/2016_02_23
http://www.nxtbook.com/sosland/fbn/2016_02_09
http://www.nxtbook.com/sosland/fbn/2016_01_26
http://www.nxtbook.com/sosland/fbn/2016_01_12
http://www.nxtbook.com/sosland/fbn/2015_12_29
http://www.nxtbook.com/sosland/fbn/2015_12_15
http://www.nxtbook.com/sosland/fbn/2015_12_01
http://www.nxtbook.com/sosland/fbn/2015_11_17
http://www.nxtbook.com/sosland/fbn/2015_11_03
http://www.nxtbook.com/sosland/fbn/2015_10_20
http://www.nxtbook.com/sosland/fbn/2015_10_06
http://www.nxtbook.com/sosland/fbn/2015_09_22
http://digital.foodbusinessnews.net/sosland/fbn/09_08_2015
http://www.nxtbook.com/sosland/fbn/2015_08_25
http://www.nxtbook.com/sosland/fbn/2015_08_11
http://www.nxtbook.com/sosland/fbn/2015_07_28
http://www.nxtbook.com/sosland/fbn/2015_07_14
http://www.nxtbook.com/sosland/fbn/2015_06_30
http://www.nxtbook.com/sosland/fbn/2015_06_16
http://www.nxtbook.com/sosland/fbn/2015_06_02
http://www.nxtbook.com/sosland/fbn/2015_05_19
http://www.nxtbook.com/sosland/fbn/2015_05_05
http://www.nxtbook.com/sosland/fbn/2015_04_21
http://www.nxtbook.com/sosland/fbn/2015_04_07
http://www.nxtbook.com/sosland/fbn/2015_03_24
http://www.nxtbook.com/sosland/fbn/2015_03_10
http://www.nxtbook.com/sosland/fbn/fbn/2015_02_24
http://www.nxtbook.com/sosland/fbn/2015_02_10
http://www.nxtbook.com/sosland/fbn/2015_01_27
http://www.nxtbook.com/sosland/fbn/2015_01_13
http://www.nxtbook.com/sosland/fbn/2014_12_30
http://www.nxtbook.com/sosland/fbn/2014_12_16
http://www.nxtbook.com/sosland/fbn/2014_12_02
http://www.nxtbook.com/sosland/fbn/2014_11_18
http://www.nxtbook.com/sosland/fbn/2014_11_04
http://www.nxtbook.com/sosland/fbn/2014_10_21
http://www.nxtbook.com/sosland/fbn/2014_10_07
http://www.nxtbook.com/sosland/fbn/2014_09_23
http://www.nxtbook.com/sosland/fbn/2014_09_09
http://www.nxtbook.com/sosland/fbn/2014_08_26
http://www.nxtbook.com/sosland/fbn/2014_08_12
http://www.nxtbook.com/sosland/fbn/2014_07_29
http://www.nxtbook.com/sosland/fbn/2014_07_15
http://www.nxtbook.com/sosland/fbn/2014_07_01
http://www.nxtbook.com/sosland/fbn/2014_06_17
http://www.nxtbook.com/sosland/fbn/2014_06_03
http://www.nxtbook.com/sosland/fbn/2014_05_20
http://www.nxtbook.com/sosland/fbn/2014_05_06
http://www.nxtbook.com/sosland/fbn/2014_04_22
http://www.nxtbook.com/sosland/fbn/2014_04_08
http://www.nxtbook.com/sosland/fbn/2014_03_25
http://www.nxtbook.com/sosland/fbn/2014_03_11
http://www.nxtbook.com/sosland/fbn/2014_02_25
http://www.nxtbook.com/sosland/fbn/2014_02_11
http://www.nxtbook.com/sosland/fbn/2014_01_28
http://www.nxtbook.com/sosland/fbn/2014_01_14
http://www.nxtbook.com/sosland/fbn/2013_12_31
http://www.nxtbook.com/sosland/fbn/2013_12_17
http://www.nxtbook.com/sosland/fbn/2013_12_03
http://digital.foodbusinessnews.net/sosland/fbn/2013_11_19
http://digital.foodbusinessnews.net/sosland/fbn/2013_11_05
http://digital.foodbusinessnews.net/sosland/fbn/2013_10_22
http://digital.foodbusinessnews.net/sosland/fbn/2013_10_08
http://digital.foodbusinessnews.net/sosland/fbn/2013_09_24
http://digital.foodbusinessnews.net/sosland/fbn/2013_09_10
http://digital.foodbusinessnews.net/sosland/fbn/2013_08_27
http://digital.foodbusinessnews.net/sosland/fbn/2013_08_13
http://digital.foodbusinessnews.net/sosland/fbn/2013_07_30
http://www.nxtbook.com/sosland/fbn/2013_07_16
http://www.nxtbook.com/sosland/fbn/2013_07_02
http://www.nxtbook.com/sosland/fbn/2013_06_18
http://www.nxtbook.com/sosland/fbn/2013_06_04
http://www.nxtbook.com/sosland/fbn/2013_05_21
http://www.nxtbook.com/sosland/fbn/2013_05_07
http://www.nxtbook.com/sosland/fbn/2013_04_23
http://www.nxtbook.com/sosland/fbn/2013_04_09
http://www.nxtbook.com/sosland/fbn/2013_03_26
http://www.nxtbook.com/sosland/fbn/2013_03_12
http://www.nxtbook.com/sosland/fbn/2013_02_26
http://www.nxtbook.com/sosland/fbn/2013_02_12
http://www.nxtbook.com/sosland/fbn/2013_01_29
http://www.nxtbook.com/sosland/fbn/2013_01_15
http://www.nxtbook.com/sosland/fbn/2013_01_01
http://www.nxtbook.com/sosland/fbn/2012_12_18
http://www.nxtbook.com/sosland/fbn/2012_12_04
http://www.nxtbook.com/sosland/fbn/2012_11_20
http://www.nxtbook.com/sosland/fbn/2012_11_06
http://www.nxtbook.com/sosland/fbn/2012_10_23
http://www.nxtbook.com/sosland/fbn/2012_10_09
http://www.nxtbook.com/sosland/fbn/2012_09_25
http://www.nxtbook.com/sosland/fbn/2012_09_11
http://www.nxtbook.com/sosland/fbn/2012_08_28
http://www.nxtbook.com/sosland/fbn/2012_08_14
http://www.nxtbook.com/sosland/fbn/2012_07_31
http://www.nxtbook.com/sosland/fbn/2012_07_17
http://www.nxtbook.com/sosland/fbn/2012_07_03
http://www.nxtbook.com/sosland/fbn/2012_06_19
http://www.nxtbook.com/sosland/fbn/2012_06_05
http://www.nxtbook.com/sosland/fbn/2012_05_22
http://www.nxtbook.com/sosland/fbn/2012_05_08
http://www.nxtbook.com/sosland/fbn/2012_04_24
http://www.nxtbook.com/sosland/fbn/2012_04_10
http://www.nxtbook.com/sosland/fbn/2012_03_27
http://www.nxtbook.com/sosland/fbn/2012_03_13
http://www.nxtbook.com/sosland/fbn/2012_02_28
http://www.nxtbook.com/sosland/fbn/2012_02_14
http://www.nxtbook.com/sosland/fbn/2012_01_31
http://www.nxtbook.com/sosland/fbn/2012_01_17
http://www.nxtbook.com/sosland/fbn/2012_01_03
http://www.nxtbook.com/sosland/fbn/2011_12_20
http://www.nxtbook.com/sosland/fbn/2011_12_06
http://www.nxtbook.com/sosland/fbn/2011_11_22
http://www.nxtbook.com/sosland/fbn/2011_11_08
http://www.nxtbook.com/sosland/fbn/2011_10_25
http://www.nxtbook.com/sosland/fbn/2011_10_11
http://www.nxtbook.com/sosland/fbn/2011_09_27
http://www.nxtbook.com/sosland/fbn/2011_09_13
http://www.nxtbook.com/sosland/fbn/2011_08_30
http://www.nxtbook.com/sosland/fbn/2011_08_16
http://www.nxtbook.com/sosland/fbn/2011_08_02
http://www.nxtbook.com/sosland/fbn/2011_07_19
http://www.nxtbook.com/sosland/fbn/2011_07_05
http://www.nxtbook.com/sosland/fbn/2011_06_21
http://www.nxtbook.com/sosland/fbn/2011_06_07
http://www.nxtbook.com/sosland/fbn/2011_05_24
http://www.nxtbook.com/sosland/fbn/2011_05_10
http://www.nxtbook.com/sosland/fbn/2011_04_26
http://www.nxtbook.com/sosland/fbn/2011_04_12
http://www.nxtbook.com/sosland/fbn/2011_03_29
http://www.nxtbook.com/sosland/fbn/2011_03_15
http://www.nxtbook.com/sosland/fbn/2011_03_01
http://digital.foodbusinessnews.net/sosland/fbn/2011_02_15
http://digital.foodbusinessnews.net/sosland/fbn/2011_01_18
http://digital.foodbusinessnews.net/sosland/fbn/2011_01_04
http://digital.foodbusinessnews.net/sosland/fbn/2010_12_21
http://digital.foodbusinessnews.net/sosland/fbn/2010_12_07
http://digital.foodbusinessnews.net/sosland/fbn/2010_11_23
http://digital.foodbusinessnews.net/sosland/fbn/2010_11_09
http://digital.foodbusinessnews.net/sosland/fbn/2010_10_26
http://digital.foodbusinessnews.net/sosland/fbn/2010_10_12
http://digital.foodbusinessnews.net/sosland/fbn/2010_09_28
http://digital.foodbusinessnews.net/sosland/fbn/2010_09_14
http://digital.foodbusinessnews.net/sosland/fbn/2010_08_31
http://digital.foodbusinessnews.net/sosland/fbn/2010_08_17
http://digital.foodbusinessnews.net/sosland/fbn/2010_08_03
http://digital.foodbusinessnews.net/sosland/fbn/2010_07_20
http://digital.foodbusinessnews.net/sosland/fbn/2010_07_06
http://digital.foodbusinessnews.net/sosland/fbn/2010_06_22
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http://digital.foodbusinessnews.net/sosland/fbn/2010_05_25
http://digital.foodbusinessnews.net/sosland/fbn/2010_05_11
http://digital.foodbusinessnews.net/sosland/fbn/2010_04_27
http://digital.foodbusinessnews.net/sosland/fbn/2010_04_13
http://digital.foodbusinessnews.net/sosland/fbn/2010_03_30
http://digital.foodbusinessnews.net/sosland/fbn/2010_03_16
http://digital.foodbusinessnews.net/sosland/fbn/2010_03_02
http://digital.foodbusinessnews.net/sosland/fbn/2010_02_16
http://digital.foodbusinessnews.net/sosland/fbn/2010_02_02
http://digital.foodbusinessnews.net/sosland/fbn/2010_01_19
http://digital.foodbusinessnews.net/sosland/fbn/2010_01_05
http://digital.foodbusinessnews.net/sosland/fbn/2009_12_22
http://digital.foodbusinessnews.net/sosland/fbn/2009_12_08
http://digital.foodbusinessnews.net/sosland/fbn/2009_11_24
http://digital.foodbusinessnews.net/sosland/fbn/2009_11_10
http://digital.foodbusinessnews.net/sosland/fbn/2009_10_27
http://digital.foodbusinessnews.net/sosland/fbn/2009_10_13
http://digital.foodbusinessnews.net/sosland/fbn/2009_09_29
http://digital.foodbusinessnews.net/sosland/fbn/2009_09_15
http://digital.foodbusinessnews.net/sosland/fbn/2009_08_18
http://digital.foodbusinessnews.net/sosland/fbn/2009_08_04
http://digital.foodbusinessnews.net/sosland/fbn/2009_07_21
http://digital.foodbusinessnews.net/sosland/fbn/2009_07_07
http://digital.foodbusinessnews.net/sosland/fbn/2009_06_23
http://digital.foodbusinessnews.net/sosland/fbn/2009_06_09
http://digital.foodbusinessnews.net/sosland/fbn/2009_05_26
http://digital.foodbusinessnews.net/sosland/fbn/2009_05_12
http://digital.foodbusinessnews.net/sosland/fbn/2009_04_28
http://digital.foodbusinessnews.net/sosland/fbn/2009_04_14
http://digital.foodbusinessnews.net/sosland/fbn/2009_03_31
http://digital.foodbusinessnews.net/sosland/fbn/2009_03_17
http://digital.foodbusinessnews.net/sosland/fbn/2009_03_03
http://digital.foodbusinessnews.net/sosland/fbn/2009_02_17
http://digital.foodbusinessnews.net/sosland/fbn/2009_02_03
http://digital.foodbusinessnews.net/sosland/fbn/2009_01_20
http://digital.foodbusinessnews.net/sosland/fbn/2009_01_06
http://digital.foodbusinessnews.net/sosland/fbn/2008_12_23
http://digital.foodbusinessnews.net/sosland/fbn/2008_12_09
http://digital.foodbusinessnews.net/sosland/fbn/2008_11_25
http://digital.foodbusinessnews.net/sosland/fbn/2008_11_11
http://digital.foodbusinessnews.net/sosland/fbn/2008_10_28
http://digital.foodbusinessnews.net/sosland/fbn/2008_10_14
http://digital.foodbusinessnews.net/sosland/fbn/2008_09_30
http://digital.foodbusinessnews.net/sosland/fbn/2008_09_16
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