China Takes Trade War to Iowa

China took aim at Iowa over the weekend in its trade war with the United States, taking out a four-page advertisement in the Des Moines Register. China Daily, an English-based government publication, paid for the advertisement, highlighting the impact the trade war is and will continue to have on Iowa soybean farmers. The content of the advertisement included an article outlining how the trade dispute is forcing Chinese importers to turn to South America instead of the U.S. for soybeans.

The advertising targets a state critical to Trump and Republicans at a time the trade war between the world’s two largest economies is intensifying, as the U.S. has imposed tariffs on an additional $200 billion in Chinese imports this week, on top of the $50 billion in goods already in place. China, meanwhile, called off planned talks with the U.S. that were aimed at finding a path forward for trade between the two nations.

Purdue Ag Economist Dr. Chris Hurt and Chief Commodities Economist Arlan Suderman from INTL FCStone shared their opinions of the increasing tariffs with HAT last week. Suderman stated that he believes China is hoping that this trade war will hurt Trump politically and won’t begin serious negotiations until after the mid-term elections. This ad targeting Iowa appears to fall in line with that belief.

Source: NAFB News Service

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