Prioritize Free Trade Deals, US Farmers Say

U.S. trade policy should focus more on securing free trade deals and less on tariffs on Chinese goods, farmers told the leaders of the House Select Committee on China during an Aug. 3 panel in Iowa.

Rep. Mike Gallagher, the committee’s top Republican, asked the farmers for their “unvarnished view” on Trump-era sections 301 and 232 tariffs on China now that several years have passed since they were first imposed. Suzanne Shirbroun, president of the Iowa Soybean Association, noted that American farmers were told they would have to endure short-term pain to rebalance our economic relationship with China over the long term, but the trade relationship hasn’t improved.

“So we thought, yeah, early on, short-term pain for gain,” Shirbroun said. “We need to see [the gain] now.”

Will Cornelius, vice president of Iowa-based seed supplier Cornelius Seed, said the U.S. should better balance restrictions with deals that liberalize trade rules. “How do we kind of work together to find a happy medium here without doing too much damage?”

Shirbroun said she would ask the current field of presidential candidates to prioritize free trade agreements as part of their trade agenda. “When you have free trade, you're moving, cash is flowing, moving back and forth,” she said. “That opens up everything else as being a possibility.” She specifically said higher revenue from new free trade deals could be used to improve U.S. agricultural infrastructure, especially American river systems.

She also disagreed with suggestions that the U.S. revoke permanent normal trade relations with China, which would “decimate agriculture exports and could deal a great blow to the American farmer.” Republican presidential candidate Nikki Haley has said she would revoke China’s status if elected (see 2306270070).