Trade
Some 44% of U.S. soybean oil will go to biofuels during the current marketing year, said the monthly WASDE report. Two years ago, the biofuel share of soyoil consumption was 37%.
Several grain companies announced plans to stop Russian grain exports as of July 1. As Russia tries to take control of its domestic grain industry, analysts think it will ultimately hurt Russian grain farmers.
According to researchers at Ohio State University, most U.S. states will experience a “limited effect” of the dispute in the short term. But the long-term could significantly impact states such as Illinois.
Non-tariff barriers “are real and can be more significant hurdles than tariffs,” U.S. Trade Representative Katherine Tai says.
While Tai has faced strong criticism about a lack of new trade agreements being pursued, she claimed this week that the U.S. is “nearing a consensus on the need to do things differently.”
The Office of the U.S. Trade Representative’s latest report shows top U.S. wheat importers could see a shake-up if trade barriers aren’t addressed.
Exports of U.S. ethanol could increase by over 80 million gallons annually, representing an additional $150-200 million in exports each year.
Iowa Senator encourages U.S. Trade Representative Katherine Tai to move toward instituting USMCA dispute settlement process.
Sluggish corn demand in the U.S. has been the concern for months. This past week, demand got a big boost, with USDA reporting daily flash sales from China. Since March 9, those sales total 83.1 million bushels.
Former President Donald Trump placed tariffs on more than $300 billion in Chinese goods during his presidency, raising costs for American companies, according to the ITC.