China has stopped buying agriculture products from the United States because U.S. President Donald Trump threatens to increase tariffs on $300 billion worth of Chinese imports by 10 per cent on Sept. 1.
Bloomberg News reported that Beijing scrapped a purchase of 14,700 tonnes of U.S. pork, its largest cancellation to date, and the Chinese government is urging state-owned firms to suspend purchases of U.S. agricultural products.
China has also threatened to impose more tariffs on U.S. products.
“China is just fighting back — they canceled all that business, and that just has the market reeling,” said Dennis Smith, senior account executive at Archer Financial Services Inc. in Chicago.
“We’ve got way too much pork if we can’t get a big export program going.”
“China’s announcement that it will not buy any agricultural products from the United States is a body blow to thousands of farmers and ranchers who are already struggling to get by,” said American Farm Bureau Federation (AFBF) President Zippy Duvall.
