Multiple media reports say the U.S. Department of Agriculture plans to close one of its headquarters buildings in Washington D.C. and lay off potentially thousands of workers in the coming weeks.
Improved U.S. Beef, Ethanol Exports Possible with U.K. Trade Deal
President Trump says a new trade agreement has been reached “in principle” with the United Kingdom, which the administration says will be the first of several to occur this year.
USDA Secretary of Agriculture Brooke Rollins says the agreement will, “lower tariffs, remove trade barriers, increase market access and strengthen cooperation on economic security.”
According to the USDA, Trump “secured major wins for American agriculture” with significant expansion in U.S. market access in the U.K., creating a $5 billion opportunity for new exports for U.S. stakeholders, including U.S. farmers and ranchers.
Rollins says the preliminary deal includes unprecedented access for American beef and ethanol in the market. She will be visiting the U.K. next week to discuss the commitments of the agreement.
The U.K. is the U.S.’ 14th largest agricultural export market and, according to Rollins, U.S. producers have faced, “disproportionately high tariffs and small tariff rate quota volumes, and unjustified non-tariff barriers when exporting to the U.K.”
“Our strong cultural and political ties between our countries have led to incredible economic prosperity. It is our goal to achieve even closer relations, and we are thankful for a deal that benefits both countries and gives American farmers, ranchers, foresters, and food processors better access to the U.K. market and the ability to compete for this business,” Rollins says.
Rollins will meet with senior U.K. government officials, visit facilities importing U.S. agricultural products and hear from U.S. cooperators and U.K. importers, “on how the administration can best position U.S. agricultural products in this important and high value market.”
Over the next 5 months, Rollins is also expected to visit Japan, Vietnam, Brazil, Peru, Italy and India. Other USDA Trade Missions this year include Hong Kong, the Dominican Republic, Taiwan, Côte d’Ivoire and Mexico.
Here is a rundown of where U.S. ag trade stands with some of those countries, according to the USDA:
India: The U.S. is India’s sixth largest supplier of agricultural products and has a $1.3 billion agricultural trade deficit with the country.
Brazil: The U.S. has a $7 billion agricultural trade deficit with Brazil.
Japan: Japan is a top 5 market for many key U.S. commodities, including corn, beef, pork, wheat, rice, and soybeans.
Vietnam: Vietnam is the U.S. 10th largest agricultural export market, and the U.S. has no trade agreement with the country — while major competitors like China do.
Peru: Peru is the third largest South American market for agricultural exports for the U.S., who remains Peru’s second largest agricultural supplier. Key prospects for U.S. agricultural exports to Peru include ethanol, dairy products, meat, tree nuts, and pulses.
Italy: American farmers and ranchers face many arbitrary non-tariff barriers that prevent larger export opportunities to Italy, the USDA says.
