U.S. soybean exports now face a 60% tariff into China, and that figure could likely climb to more than 100% if the tit for tat on tariffs continues between the two countries. Even as the trade war heats up, and soybeans could be on the front lines once again, the reality is U.S. farmers aren’t shipping as many soybeans to China as they did in 2018.
Just last week, President Donald Trump headlined what he called “Liberation Day” by announcing tariffs on more than 180 countries. That included a 34% tariff on all Chinese goods. In response, China imposed 34% tariffs on U.S. goods two days later. On Monday, Trump warned of more tariffs if China does not withdraw its retaliatory tariffs. With tariffs already in place, that brought the total tariff rate to a whopping 60%.
But the tense exchange unfolding between the U.S. and China on trade could grow even more.
The views and opinions expressed are those of the author’s and do not necessarily reflect the official policy or position of C3.
