According to Ambassador Katharine Tai, U.S. Trade Representative, the U.S. has been treated well when it comes global trade.
Ambassador Tai spoke Friday at the USDA’s Annual Ag Outlook Forum.
Tai said that U.S. trade policies and global commerce have been seen from a broad perspective. However, Tai pointed out that recent events and phenomena have revealed that trade has been discombobulated.
She compares U.S. trade issues with a clock. She says the gears aren’t always attached and pieces are falling apart.
She says supply chain issues are to blame.
A lack of resilience and the physical and logistical aspects of trade.
Tai states that the pandemic was a major shock for the (trade) system. What we are seeing between Russia, Ukraine, and other countries is another shock to this system.”
The U.S. has been through wars, natural disasters, and pandemics before. This brings us to the need for innovation from our economic stakeholders, a U.S. trade official said.
“The ag sector must be able to adapt to changing times. We need to find ways to be lighter on our feet. Use our knowledge to be more aware of the changes happening in the world.
Ambassador Tai believes that the U.S. can use innovation in trade policies to restore trust between trade partners.
China Trade
The USTR is focusing on improving trade relations with China, along with a trade mission to the Indo-Pacific region (Indian, Phillipines, and Thailand).
According to a U.S. trade official, China’s overall relationship with the United States is very complex in terms of agriculture.
Ambassador Tai states that China is both a rival and a competitor for our European and Asia-Pacific partners. It (China), although a competitor and a rival, is also a partner in which we can establish that level of trust.
So far, the U.S. has focused its meetings on trade and China under the Biden administration.
China has failed to meet its 2020 commitment to buy U.S. goods in that agreement.
“China’s (performance under this agreement) has been uneven. Since the beginning of October 2021, we’ve had honest, direct, and respectful discussions with the Chinese. Ambassador Tai says that these conversations have been difficult and have become more difficult over time.
She stated, “We will continue pressing China on the impact of its trade policy.” We will keep our eyes on our rules. While we would like China to follow our rules, it is impossible for us to make decisions.
War has an impact
Tai believes that what is occurring between Russia, Ukraine and other countries is very alarming.
“The key is to work with NATO allies and then look after our economy. The USDA will have to evaluate the effects of agricultural trade. Ukraine is an agricultural powerhouse. So, we have to figure out which trading partner our allies want us to be and how to take care our own,” Ambassador Tai said.
Ukraine is the fourth largest producer of agricultural products in the entire world.
Surprisingly, Ukraine exports a lot products to China and Europe, as well as the Middle East, Africa, and Asia.
USMCA
According to USTR’s Tai.
The agreement gives U.S. dairy farmers greater access to the Canadian market.
“We need to continue pushing our North American counterparts to keep their word about this agreement. Ambassador Tai said that the USDA and dairy farmers will be involved in this effort.
Mexico is another important partner for the United States.
“With Mexico, I am working with Mexico to get clear messages regarding the biotechnology products our producers are using.” This has been a difficult issue, and we plan on working with the USDA and industry stakeholders,” she said.
Source: Successful Farming
