Per the new China-U.S. trade pact signed on Wednesday, the agreement includes some big wins for farmers and businesses in our area.
China has agreed to purchase and import an average of at least $40 billion of U.S. food, agricultural and seafood products annually for a total of at least $80 billion over the next two years.
China has agreed to import the following U.S. agricultural products: apples, cherries, hops, blueberries, potatoes, barley, alfalfa hay, cut flowers, onions, apricots, grapes, and timothy hay.
Over the next two years, the trade agreement states that China will import no less than $200 billion of U.S. goods and services on top of the amounts it imported in 2017 in four broad categories: China’s imports of U.S. manufactured goods, such as industrial machinery, electrical equipment, pharmaceutical products, aircraft, vehicles, optical and medical instruments, iron and steel, solar-grade polysilicon, hardwood lumber, and chemical products, among other goods, will total at least $120 billion in 2020 and at least $131.9 billion in 2021.
China’s imports of energy products from the United States, such as liquefied natural gas, crude oil, and metallurgical coal, will total at least $30.1 billion in 2020 and at least $45.5 billion in 2021.
China’s imports of U.S. services, such as financial services, insurance services, cloud services, and travel services, will total at least $99.9 billion in 2020 and at least $112.2 billion in 2021.
The Intellectual Property portion of the agreement speaks to several longstanding concerns in the areas of trade secrets, patents, pharmaceutical-related intellectual property, geographical indications, trademarks and enforcement against pirated and counterfeit goods.
“Today is a monumental day for the United States,” said Rep. Dan Newhouse. “For too long, China has taken advantage of the United States, but Phase One of a comprehensive trade deal with China solidifies that our country is willing to go above and beyond to support American industries, promote our high-quality products, and level the playing field. President Trump, Ambassador Lighthizer, and their negotiation team have worked tirelessly to get us to this point, and I applaud their hard work on behalf of the American people. This agreement will have an extraordinary impact on Central Washington’s farmers, ranchers, and manufacturers who are ready and willing to increase production and sales to our largest international trading partner. I look forward to continued negotiations of Phase Two of the agreement as we continue to promote smart, fair, and beneficial trade policies with China and other countries around the world.”