Forum links US farmers, China market

People in the agricultural and food sectors attending a forum in Los Angeles are pushing for a reduction in trade barriers and more dialogue between business leaders as China and the United States sort through details of the first phase of the October trade agreement.

The importance of agricultural trade in US-China relations was emphasized during the second annual US-China Agriculture & Food Trade Forum, attended by 300 representatives from the two countries on Wednesday and Thursday.

“I’ve definitely heard from farmers in Alabama that it’s having an impact on them and crop prices and getting their products to market. I think some of them are supportive of the president’s efforts to negotiate and get a better deal, but they also feel like they are sacrificing a little bit because of some of the tariffs and the trade situation,” said Andrew Jones, a Republican state senator from Alabama.

Agriculture is the No 1 industry in Alabama. The state produces soybeans, corn, cotton and timber, among other crops, Jones said.

“We would love to collaborate in any way we can to get our products into the Chinese market and reduce barriers to trade so that we can help our farmers back in Alabama,” he added.

The event, hosted by the US-China Agriculture Trade Service Center and the Minority Business Development Agency Pasadena, was supported by the China Council for the Promotion of International Trade, the US Meat Export Federation, the US Food and Drug Administration and China Certification and Inspection Group North America.

Liu Haiyan, commercial counselor at the Chinese Consulate General in Los Angeles, said US agricultural products are popular in the Chinese market.

China is the largest export market for US soybeans and the second-largest market for US cotton, he added.

In 2018, China’s agricultural imports reached $137 billion. The US is the world’s largest exporter of agricultural products.

“Our two countries have huge space for cooperation in the areas of food and agriculture, and prospects are very bright,” Liu said.

Zhao Zhenge, general representative of CCPIT USA, called on the business community to appeal to local governments to solve trade frictions on the basis of “equality and mutual benefit”.

China was the third-largest market for US agricultural products from 2009-2017, Zhao said. However, due to the tariffs, those exports to China have fallen.

“You can see that interests from the two sides are deeply intertwined, and levying tariffs-or economic decoupling-is not a choice,” he added.

As part of the first phase of the early October agreement between the two parties, China promised to buy more US agricultural products. In return, the US suspended tariff increases that were to go into effect Oct 15.

Michael Burrows, executive director of the San Bernardino International Airport Authority Commission and the Inland Valley Development Agency, said the most recent trade negotiations showed positive signs.

“Are we there yet? Not completely, but we are very encouraged with the government-to-government outreach at the very local level and at the business-to-business level, and that translates into solutions-based thinking as opposed to standing in the corner,” Burrows said.

San Bernardino International Airport, the San Bernardino government and the Chinese Consulate General in Los Angeles recently hosted a trade symposium at the airport during which officials discussed business opportunities between China and the region.

“Many of these solutions are available business-to-business, so being able to take those international partnerships on a company-to-company basis, you will be surprised at some of the solutions that companies arrive at just working together,” he added.