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Chick-News.com Poultry Industry News, Comments and more by Simon M. Shane

Pork Producers Were Concerned Over Proposed Mexico Tariffs and Retaliation

06/09/2019

David Herring, president of the National Pork Producers Council issued a statement on May 31st relating to the proposal by the Administration to place a tariff on imports from Mexico as an imperative to reduce illegal migration. Herring stated “We appeal to President Trump to reconsider plans to open a new trade dispute with Mexico. American pork producers cannot afford retaliatory tariffs from its largest export market, tariffs which Mexico will surely implement. Over the last year trade disputes with Mexico and China have cost hard-working American pork producers and their families approximately $2.5 billion”. The statement continued “We hope those members of Congress while working to restrict the Administration’s trade relief programs, take note”.

The statement continued “Let us move forward with ratification of the United States-Mexico-Canada agreement preserving zero-tariff pork trade in North America for the long term; complete a trade agreement with Japan; and resolve the trade dispute with China, where U.S. pork has a historic opportunity to dramatically expand exports given the country’s struggle with African swine fever”.

Dr. Dermott Hayes, an Ag economist at Iowa State University predicts that U.S. pork producers will lose their entire Mexican market if they face protracted retaliation. In 2018, according to industry data, Mexico represented 20 percent of U.S. pork exports.

In the event the decision not to impose tariffs scheduled for Monday 10th June, following a mutual agreement between the nations has relieved the immediate concern. Should Mexico fail to comply with its obligations tariffs would be imposed and U.S. exporters of agricultural commodities would be back to the end of May. 


Lopez Obrador
President of Mexico

 
Copyright 2019 Simon M. Shane