2020 is expected to be a big year for U.S. agriculture export growth.
American Farm Bureau Federation senior congressional relations director Dave Salmonsen says China will be a big part of that growth for the industry.
“We have a date of January 15th, let’s hope it happens there is getting a phase one deal with China.
Of course, January 1st, the US-Japan deal came into effect.
Now, according to the agreement that they made, within four-months, discussions on phase two of that deal can begin.”
China is expected to ramp up its buys of U.S. farm goods to a just disclosed $40 billion a year for two-years, close to the $50 billion President Donald Trump demanded.
Finalization of the U.S. Mexico Canada Agreement, USMCA, could add $2.2 billion to agriculture’s bottom line in the United States.
2020 could also see trade talks with the United Kingdom accelerate.
According to Salmonsen, “If the British maintain what they’re saying about leaving the European Union on January 31, then actually, you could start to see negotiations begin and then continue throughout next year and beyond, with the United Kingdom.”
However, the U.K. must first sign a deal with the European Union, setting trade rules that would be the basis for a US-UK deal and one, still uncertain, with the E.U.
Back in Asia, U.S. trade eyes will again focus this year on former TPP partner Vietnam, plus the Philippines, Indonesia, and maybe even Taiwan, as trade tensions cool with its adversary, China.
