Trump tariffs threaten $8.2 bn US dairy exports amid global uncertainty
Source: dairynews.today
The ongoing trade policies under President Donald Trump threaten US dairy exports as crucial export markets like Mexico, Canada, and China face targeted tariffs.
President Donald Trump’s imposition of tariffs poses significant risks to the US dairy export industry, valued at approximately $8.2 billion last year — the second-highest on record.
These export markets, primarily Mexico, Canada, and China, have been crucial for handling the US dairy boom. Nonetheless, retaliatory tariffs from China and Canada are complicating overseas prospects, with Canada imposing 25% tariffs on US dairy products and China applying 10% on certain milk products.
"The US market could not absorb that additional production coming online, particularly if you’re talking about a pullback of exports," remarked Shawna Morris of the National Milk Producers Federation.
Additional concerns include potential port fees on Chinese-operated ships, which could elevate export costs. Dairy futures have responded, with prices slumping amid this uncertainty, reflecting sluggish market activities.
These export markets, primarily Mexico, Canada, and China, have been crucial for handling the US dairy boom. Nonetheless, retaliatory tariffs from China and Canada are complicating overseas prospects, with Canada imposing 25% tariffs on US dairy products and China applying 10% on certain milk products.
"The US market could not absorb that additional production coming online, particularly if you’re talking about a pullback of exports," remarked Shawna Morris of the National Milk Producers Federation.
Additional concerns include potential port fees on Chinese-operated ships, which could elevate export costs. Dairy futures have responded, with prices slumping amid this uncertainty, reflecting sluggish market activities.
