Farmers are optimistic after reports that President Trump and Chinese President Xi Jinping have agreed on a new trade framework that could reopen China’s market to U.S. agricultural products. The framework, announced as U.S. officials met in Malaysia, aims to ease China’s freeze on U.S. ag imports and may include reducing the 23% tariff on American soybeans. The announcement, along with new trade agreements with Cambodia, Malaysia, Thailand, and Vietnam, has boosted optimism in commodity markets and could lift soybean prices. Read comments from ag groups below.
Growth Energy Welcomes New Trade Deals with Southeast Asia
Growth Energy, the nation’s largest biofuel trade association, issued the following statement after U.S. Trade Representative (USTR) Jamieson Greer announced new trade agreements between the U.S. and four countries in Southeast Asia—Malaysia, Cambodia, Vietnam, and Thailand. “American farmers and rural communities want and need new markets—like the ones that will be created and enhanced by these new trade agreements,” said Growth Energy CEO Emily Skor. “Global demand for ethanol is growing and the Trump administration continues to find ways to create new opportunities for this industry while positioning American producers to make the most of them. These new deals will be welcome news across the heartland, and we commend USTR for its commitment to building American energy dominance through the strength of our trade relationships.”
USMEF Statement on USTR’s Announcement of Trade Deals with Southeast Asian Countries
The Office of the U.S. Trade Representative (USTR) announced agreements on reciprocal trade with Malaysia and Cambodia and frameworks for agreements on reciprocal trade with Thailand and Vietnam. U.S. Meat Export Federation (USMEF) President and CEO Dan Halstrom issued the following statement: USMEF greatly appreciates USTR’s tireless efforts to address both tariff and non-tariff barriers that have kept the U.S. as a minor supplier of red meat to the ASEAN region. With the U.S. beef industry currently lacking access to China, improved access to Southeast Asia is desperately needed to provide competing bids for beef cuts that are popular in Asia, but not demanded by American consumers. Exports of short plate, chuck short rib, rib fingers, omasum and other such items are critical to maximizing the value of every animal and stimulating the U.S. herd rebuild. For U.S. pork, exports have been the driver of industry growth, also enabling American consumers access to the bacon and ribs they love, while maximizing whole animal value through exports of feet, stomachs, picnics, brisket bones and bone-in hams. The ASEAN region is more critical than ever as an alternative market to China, especially for pork variety meats. U.S. beef and pork hold only minor import shares in Thailand, Vietnam, Malaysia and Cambodia due to the combination of tariff and non-tariff barriers. The growth potential is significant when these barriers are addressed through President Trump’s agreements. USMEF looks forward to swift implementation of the agreements with Malaysia and Cambodia, and hopes for further progress and implementation of agreements with Thailand and Vietnam, as well as follow through on the joint statement with Indonesia announced in July. USMEF also issued this fact sheet providing more context and detailing the potential benefits to the U.S. red meat industry if improved access to Southeast Asia is achieved.
Corn Growers Express Appreciation for Asian Markets Announcement
The Trump administration announced today a series of trade deals and frameworks with several Asian countries, some of which include new market access for ethanol as well as additional opportunities for corn and corn products, like distiller dried grain solubles. In response to this announcement, National Corn Growers Association President Jed Bower released the following statement: “This is all very good news for the nation’s corn growers. Eliminating tariffs on ethanol exports to Malaysia and Cambodia will boost demand. We are encouraged to see that the framework for Thailand included agriculture purchases of corn and DDGS. The announced framework for Vietnam is also promising, as this is already a robust market for DDGS and corn growers are well positioned to supply corn and ethanol as well. We look forward to reviewing more details on the frameworks for Thailand and Vietnam. Corn growers have been calling for deals that will open new markets, and we applaud the Trump administration for listening and acting on our request.”
ASA Welcomes New Southeast Asia Trade Deals
This morning, the United States signed two trade deals with Malaysia and Cambodia and announced a framework for reciprocal trade with Vietnam and Thailand. As part of these announcements, the White House has noted multiple provisions favorable to U.S. soybean exports, including: The elimination or reduction of tariff barriers for U.S. agricultural products into all four countries A commitment from Thailand to purchase U.S. soybean meal, among other U.S. feed commodities, on a per annum basis totaling $2.6 billion. The elimination or reduction of major non-tariff barriers in each country, including favorable language on biotechnology regulations, sanitary and phytosanitary provisions (SPS), and other non-tariff barriers. Caleb Ragland, ASA president and Kentucky soybean farmer, said, “We appreciate President Trump’s recognition of the promise markets in Southeast Asia hold for U.S. soybean exports, and we applaud the work of the administration to increase market access in that region. We look forward to future deals like these that reduce tariffs and ensure continued and increased market access for U.S. agriculture and urge all parties to swiftly bring these frameworks and agreements to fruition.”
ASA Encouraged by U.S.–China Trade Talk
As U.S.-China trade discussions advance this week, soybean farmers are watching closely for signs of renewed market access and stability. ASA welcomes reports of progress and continues to urge both nations to prioritize agricultural trade in their negotiations. “ASA is encouraged by Secretary Bessent’s comments that trade talks with China are productive and include U.S. soybeans. Signals of purchase commitments are a positive step, and we look forward to learning more details later this week,” said ASA President Caleb Ragland, a soybean farmer from Magnolia, KY. “We appreciate the White House and trade negotiators keeping U.S. soybeans at the center of discussions and are hopeful Thursday’s meeting between President Trump and President Xi will result in a trade deal that delivers results for our farmers.”
Meat Institute: Trump Administration’s Southeast Asia Trade Deals Secure Greater Market Access for Meat and Poultry
The Meat Institute today released the following statement regarding the White House’s announcement of trade deals with Cambodia, Malaysia, Thailand and Vietnam. “We are so grateful to U.S. Trade Representative (USTR) Ambassador Jamieson Greer and Assistant USTR for Agricultural Affairs Julie Callahan for their hard work to address both tariff and non-tariff barriers to trade that have been challenging meat and poultry exports for years,” said Meat Institute President and CEO Julie Anna Potts. “We have worked closely with the Trump Administration to gain better access to growing markets in Southeast Asia and these agreements are a big win for our members.” “We applaud the elimination of onerous establishment and product registration requirements and the reinforcement of sound, internationally recognized science in determining market access. “We are pleased that Cambodia and Malaysia agreed to our protections for common meat product names and as negotiations proceed with Thailand and Vietnam, we will continue to work with the Administration to ensure the final agreements include these provisions. “Julie Callahan will appear before the Senate Agriculture Committee later this week and the Meat Institute urges the Committee to favorably report her nomination to be the USTR Chief Negotiator for Agriculture to the full Senate without delay.”
