Trade symposium highlights ag tariff issues

By Scout Nelson

A recent symposium hosted by the Clayton Yeutter Institute of International Trade and Finance at Nebraska Innovation Campus highlighted key trade policy issues impacting agriculture. Titled “Opportunities for Leadership in the Global Trading System,” the event brought together experts to discuss the risks of high tariffs, sustainability in trade, and renegotiation of trade agreements.

Edward Alden, a trade specialist from Western Washington University, delivered the keynote address, emphasizing that tariffs often lead to retaliation targeting the agricultural sector.

He noted that during the 2018-19 trade dispute with China, the U.S. spent $28 billion to compensate farmers. “Once a trade war begins, the ag sector is usually the No. 1 target for punitive action,” said Alden.

Panelists addressed diverse topics, including the upcoming six-year review of the U.S. Canada Mexico Agreement (USMCA). Experts from Canada and Mexico suggested that a comprehensive renegotiation is more likely than a simple review.

A recurring issue in the discussion was whether Mexico could serve as a backdoor for China to export cars to the U.S., potentially bypassing trade barriers.

Concerns about sustainability requirements in trade agreements were also discussed. Symposium participant Mark McHargue underscored the importance of including agriculture in conversations about sustainability, especially in light of ongoing debates in the European Union.

Katrin Kuhlmann, a Georgetown University law professor, supported the idea of sustainability requirements, emphasizing that “farmers are the ones who understand sustainability best.”

The symposium concluded with Alden’s call for a balanced approach to trade policy. He recommended focusing on practical strategies, including market openings and reducing trade barriers, while considering factors like labor standards and national security. This approach, he stated, would help manage and preserve the gains from trade in a challenging global environment.

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