Soybeans in AugustA planned trip to China suddenly took a turn for Iowa Farm Bureau Director of Research and Commodity Services Dave Miller following the Chinese government’s retaliatory tariffs on soybeans.

In an interview with Raccoon Valley Radio, Miller says when they planned the trip in January, it was to renew and make new contacts with buyers from China, but that all changed the day after they arrived in China when the tariffs on American pork and soybeans were announced. They initially met with US Ambassador Terry Branstad and explained to him about the impacts of the tariffs have on Iowans and the trade negotiations.

Miller then met with representatives from the China Feed Industry Association and the China National Association of Grain Sector. Miller says the representatives blamed America for the tariff issues and that it had nothing to do with the larger trade issues each country is facing.

“We did remind them to the extent there were tariffs on soybeans, it is the Chinese government that chose soybeans as the retaliatory commodity. In order to remove the soybean tariffs, it’s actually their government that has to do that, not ours.”

Following the discussions, Miller says the Chinese don’t seem worried about not purchasing soybeans from America for a while.

“They talked some about how they were going to adjust to not having US soybeans. They think they have sufficient South American soybeans that would get them well into November or so in terms of supplies. They’re making some adjustments on feed rations, cutting proteins levels a little bit and seeking additional sources besides the US and the extra supply out of Brazil.”

Miller thinks it wouldn’t be until December until he saw China making soybean purchases again, which would have major implications to not only America’s economy, but especially Iowa’s economy.