The United States agreed on May 17 to lift tariffs on steel and aluminum from Canada and Mexico, a move being praised by many in the agriculture industry as a step toward approval of the United States-Mexico-Canada Agreement (USMCA).
“I’m encouraged by the trade news coming out of Washington today. With the steel tariffs lifted, this is the time for Congress to approve the USMCA. The passage will protect our relationships with two of our biggest ag trading partners, Canada and Mexico,” said Iowa Secretary of Agriculture Mike Naig.
Julia Anna Potts, president and CEO of the North American Meat Institute, hailed the move, saying that the removal of the metal tariffs restores zero-tariff trade to U.S. pork’s largest export market in Mexico.
“The 20% retaliatory tariffs on U.S. pork imposed by Mexico as a result of the Section 232 tariffs has been particularly hard on Meat Institute members who harvest and process pork and pork products. Moreover, these tariffs have complicated our efforts to make a supportive case on behalf of the United States – Mexico – Canada Agreement (USMCA). The removal of these barriers will help clear the way to positive and productive conversations in Congress to pass this important trade deal,” Potts stated.
"We look forward to working with the Administration, our supporters in Congress and our agricultural partners to secure a critical win for agriculture with the passage of USMCA."
American Farm Bureau Federation President Zippy Duvall also welcomed the news, calling retaliatory tariffs “a drag on American farmers and ranchers at a time when they ar suffering more economic difficulty than many can remember.”
The Farm Bureau believes in fair trade. Eliminating more tariffs and other trade barriers is critical to achieving that goal.”
According to a report from the United States International Trade Commission, USMCA is expected to increase U.S. poultry production by $149.3 million and U.S. dairy production by $227 million.
