U.S. President Donald Trump signed “phase one” of a trade agreement with China earlier today which includes a commitment to buy more U.S. agricultural goods including soybeans and pork.
Trump’s administration said China has pledged to increase its spending on all American goods by $200 billion over the next two years compared to 2017 levels. At least $40 billion of that total will be spent on U.S. farm goods.
“This trade deal is a step in the right direction and a welcome sign for our farmers who have been dealing with low commodity prices,” said Alabama Farmers Federation President Jimmy Parnell. “We appreciate the administration fighting for better trade deals for agriculture.”
American Farm Bureau Federation President Zippy Duvall echoed Parnell’s optimism about the trade deal.
“Today’s signing is an important step in giving America’s farmers and ranchers the ability to get back to business in the global market,” Duvall said. “This agreement will help turn around two years of declining agricultural exports. The potential of tens of billions more in exports is welcome news for farmers who are eager to compete on a more level playing field.”
The agreement takes effect in 30 days.
The Alabama Farmers Federation is an affiliate of the American Farm Bureau Federation. The Alabama Farmers Federation is the state’s largest farm organization with over 330,000 member families.