Farmscape for November 29, 2018
U.S. President Donald Trump is being encouraged to use the meeting of the G20 to resolve the global trade war.
In a letter to the White House, Americans for Free Trade has urged President Trump to use the G20 meeting to end the trade war ahead of tariff increases due to take effect New Year's Day.
Brian Kuehl, the Executive Director of Farmers for Free Trade, says all nations are being hurt by what has escalated into a global trade war.
Clip-Brian Kuehl-Farmers for Free Trade:
The parties that win in a trade war are the parties that are not in the trade war.
As the U.S. and China bash each other other countries around the world have opportunities so Brazil is positioned to sell soybeans to China as China stops buying U.S. soybeans and Australia is positioned to sell beef to China as China stops buying beef.
Conversely Cambodia is in a position to sell electronics to the U.S. as the U.S. stops buying Chinese electronics so it's the other countries that are not in the trade war that tend to win.
The U.S. is also in a trade war with Canada.
We've put tariffs on inbound steel and aluminum.
Canada has retaliated by putting tariffs on processed foods among other products coming into Canada.
Everybody is getting hurt in this trade war.
Canada is getting hurt, the U.S. is getting hurt so the G20 is really critical.
We'd like to see the United States and China move forward to deescalating the trade war.
It doesn't mean that we shouldn't address these issues around intellectual property.
China is clearly being a bad actor on a lot of fronts but we shouldn't cut off our nose to spite our face.
We shouldn't have tariffs placed on all manner of products, billions of dollars in drag on the economy while we try to resolve this dispute.
Let's try to resolve the dispute using trade mechanisms through the WTO and other mechanisms and let's work together as a coalition to convince China that they need to change their behavior.
Kuehl says there is a great deal of concern over the impact of trade wars on U.S. agriculture.
He says, by getting back to business, we all win.
For Farmscape.Ca, I'm Bruce Cochrane.
*Farmscape is a presentation of Sask Pork and Manitoba Pork