President Donald Trump is scaring the agricultural and manufacturing sectors of the economy as the United States and China outline detailed plans for sweeping tariffs.
“Farmers and ranchers are, by necessity, patient and optimistic. We know markets ebb and flow, " said American Farm Bureau Federation President Zippy Duvall. "But China’s threatened retaliation against last night’s U.S. tariff proposal is testing both the patience and optimism of families who are facing the worst agricultural economy in 16 years. This has to stop."
Soybean farmers in Iowa worry about long-term damage from Trump's trade war.
"Short term, the volley of proposed tariffs between the countries will negatively impact soybean prices," the Iowa Soybean Association said in a statement. "Long-term, an ongoing trade dispute with China risks stoking anti-Americanism sentiment that could jeopardize the strength of trade relations between the two countries – relationships that have taken U.S. soybean farmers nearly 35 years to develop."
“The last thing the administration should be doing is starting a trade war on the backs of American farmers," said Minnesota Soybean Growers President Michael Petefish.
“We have already seen soybean futures down nearly 40 cents as of this morning,” says Minnesota Soybean CEO Tom Slunecka. “That’s more than a billion dollars lost in value for our crop just this morning.
Manufacturing is also threatened by a trade war.
“Business Roundtable agrees with the Administration’s concerns regarding China’s unfair trade practices, including theft of intellectual property, restrictions on foreign investment, and policies that foster unfair competition," the association of CEO's said. "But unilaterally imposing $50 billion of new tariffs without a long-term strategy that leads to economic reforms in China will only hurt America’s businesses, workers, and families."