Rounds Notes Importance of Trade for South Dakota Ag Products in Letter to U.S. Trade Representative Lighthizer
WASHINGTON—U.S. Sen. Mike Rounds (R-S.D.) today sent a letter to recently-confirmed U.S. Trade Representative, Ambassador Robert Lighthizer, to follow up on a recent meeting they held to discuss the importance of trade for South Dakota’s agricultural sector.
“We are in clear agreement on the benefits of opening new markets for U.S. beef exports, lowering tariffs on American agricultural products and maintaining our relationships to countries within the North American Free-Trade Agreement (NAFTA),” wrote Rounds in the letter. “I appreciate your commitment to stand up for and promote the United States’ agricultural industry abroad.”
Rounds and Lighthizer met prior to Lighthizer’s confirmation to be U.S. Trade Representative.
Full text of the letter:
May 17, 2017
Ambassador Robert Lighthizer
Office of the United States Trade Representative
600 17th Street NW
Washington, DC 20508
Ambassador Lighthizer:
Congratulations on your confirmation to serve as United States Trade Representative. I thank you for meeting with me earlier this month to discuss our shared goals of increasing trade opportunities for U.S. producers. Particularly, I thank you for taking the time to discuss the importance of trade to our agricultural sector. We are in clear agreement on the benefits of opening new markets for U.S. beef exports, lowering tariffs on American agricultural products and maintaining our relationships to countries within the North American Free-Trade Agreement (NAFTA). I appreciate your commitment to stand up for and promote the United States’ agricultural industry abroad.
As we discussed, over the past four years, U.S. net farm income has fallen nearly 50 percent. Maintaining our current trade relationships and sending U.S. agriculture products into new markets is vital to help producers rebound from their losses.
Mexico and Canada represent two of the largest export markets for U.S. agricultural products. In 2016, American farmers sent $20.5 billion worth of exports to Canada and $17.8 billion worth of exports to Mexico, which is the largest market for U.S. corn and soymeal, the second largest market for U.S. soybeans and the third largest market for U.S. beef. NAFTA eliminated all tariffs and quantitative restrictions on agricultural goods, and withdrawing from the agreement without a similar structure in place would cause significant harm to U.S. producers.
If the Trans-Pacific Partnership (TPP) would have been enacted, U.S. beef producers would have seen Japanese tariffs drop from 38.5 to 9 percent over a phase-in period. As you assume your position, I respectfully request that you work to lower tariffs and open new markets for U.S. agriculture products in Asia and Pacific Rim countries. This effort should include finalizing a trade agreement with China so American beef producers could gain access to the Chinese market.
Again, congratulations on your confirmation as United States Trade Representative. I look forward to working with you.
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