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AFBF: U.S., China need to negotiate

China has announced it will not buy any agricultural products from the U.S. and a leader with American Farm Bureau says its unclear what the full impact will be.

Dave Salmonsen is the senior director of congressional relations.

“What we’re trying to see is does all mean all (when China says it will stop purchasing all U.S. goods),” he says. “Initially with the announcement from China, it seemed that these were mostly going to be the state-owned enterprises that have been buying U.S. ag products.”

He says in the meantime farmers continue to be negatively impacted by the trade dispute.

“They’ve gotten help from these assistance programs and the last two have had monies for the export organizations to do even more to try to find markets for U.S. ag products, but it takes a lot to make up for not being able to sell into the Chinese market,” he says.

Scott VanderWal, vice president of American Farm Bureau and a South Dakota farmer, says there has been an increase in farm bankruptcies as a result of the trade dispute.

“So we’re asking the administration to really understand this, and I think they do, but to do their best to get back to the table and go back to negotiating with China,” he says.

President Trump has announced he is prepared to extend trade aid next year if necessary. Salmonsen says the assistance helps farmers, but it doesn’t make up for lost sales.  

“Despite all this back and forth over the last week, we like to think they’ll keep working away at this and will find some kind of a resolution,” he says.

From 2017 to 2018, U.S. agricultural exports to China fell more than 50 percent, dropping to $9.1 billion.

Audio: Dave Salmonsen, American Farm Bureau