U.S. soy farmers have urged Washington to work for a positive solution to the current tariff dispute with the world's top oilseed buyer China, and avoid further escalation of trade tensions.
In a statement released late Tuesday, the American Soybean Association (ASA) described the threat by U.S. President Donald Trump's administration to increase the tariff rate from 10 percent to 25 percent on 200 billion U.S. dollar worth of Chinese goods as the "worst case" for U.S. soybean growers.
"This is a predicament for soy growers," said Davie Stephens, ASA president and a soybean farmer from Kentucky.
"With depressed (soybean) prices and unsold stocks forecast to double before the 2019 harvest begins in September, we need the China market reopened to U.S. soybean exports within weeks, not months or longer," he added.
In the statement, the ASA urged Washington to hold off on additional tariffs and rapidly conclude negotiations with China, including lifting the existing Section 301 tariffs in exchange for China removing its retaliatory 25 percent tariff on U.S. soybeans.
"We need a positive resolution of this ongoing tariff dispute, not further escalation of tensions," Stephens was quoted as saying.
The United States announced Wednesday that it would raise tariffs on 200 billion U.S. dollars worth of Chinese goods from 10 percent to 25 percent, effective on May 10.
China on Wednesday expressed regrets over the planned measures in a statement, saying "China deeply regrets this, and will be forced to take necessary countermeasures if the U.S. side puts the tariff measures into effect."
The Chinese Commerce Ministry also confirmed earlier this week that at the invitation of U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin, Chinese Vice Premier Liu He, who is also chief of the Chinese side of the China-U.S. comprehensive economic dialogue, will visit the Untied States on Thursday and Friday to attend the 11th round of the bilateral consultation on trade issues.
