House Agriculture Committee Chairman Collin Peterson of Minnesota and Livestock and Foreign Agriculture Subcommittee Chairman Jim Costa of California say they are optimistic but cautious, regarding the phase one trade agreement with China.
Peterson notes the agreement includes potential increased market access for U.S. farmers, adding, “The question now is whether China will play by the rules it has agreed to here.”
Peterson says he is concerned that long-term, certain crops may not regain the foothold they lost in the trade war.
Meanwhile, Costa says, “The key is getting the Chinese to stick to their commitments and prove that they will honor international agreements.”
Costa adds it’s not immediately clear that the new purchases, at least $40 billion worth annually according the Trump Administration, “will make up for what we’ve lost along the way.”
Both Peterson and Costa say they are pleased to see progress on negotiations with China.
However, most tariffs on China will remain in place, while Trump seeks a phase two agreement.
