US Grain Exports Could be Hurt by Steel Tariffs

Last week President Trump signed off on steel and aluminum import tariffs leaving many American farmers worried about the potential negative consequences. The 25 percent tariff on steel and 10 percent tariff on aluminum might threaten United States’ (US) grain exports. The US Grains Council is worried that global importers of corn, barley, and sorghum will retaliate in response to the recent tax hikes. Global barley and sorghum exports last year were valued at $34 million and $1.02 billion, respectively. Last year the US exported $2.6 billion of corn to Mexico and $130 million to Canada, but the tariffs coupled with uncertainties surrounding the North American Free Trade Agreement (NAFTA) might cause these markets to turn away from the US. Gro Intelligence subscribers can monitor import and export data of important grain crops to stay ahead of developing global market news.