Faced with a domestic oversupply of pork, officials in China are evaluating whether to impose anti-dumping duties on pork from the E.U. China has conducted an “investigation” into costs pertaining in Europe. The real issue is the imposition of anti-dumping duties on Chinese electric vehicles (EVs) manufactured with presumed subsidy support from the Government of China. Canada has joined the E.U and the U.S. in excluding EVs from China in their respective markets.
China is extremely sensitive to imposition of duties on their products and invariably retaliates with reciprocal action. Two successive U.S. Administrations have imposed and maintained duties on a range of subsidised imports from China. With the possibility of an
intensification of a trade war, producers of soybeans, corn and wheat should prepare for a decline in export volume and value. Entreaties by the American Soybean Association to keep food out of trade wars will be unlikely to sway China. This nation is committed to self-benefit and will import U.S. agricultural commodities as and when required. Imports by China take into account prevailing landed prices and there is no sentiment in international trade in commodities. This reality should be factored into consideration with respect to 2025 planting intentions.