Japan will lower or eliminate tariffs on $7.2 billion worth of U.S. farm exports starting Jan. 1.
Japan’s parliament approved what has been dubbed a “mini” trade pact with the U.S. earlier this month. The agreement puts U.S. ag products, for the most part, on the same footing as exports from the 11 nations participating in the Trans Pacific Partnership.
The U.S. and Japan are committed to further trade talks in early 2020.
The Kyodo news service said that under the trade pact, the tariff on U.S. beef would gradually fall to 9 percent from the current 38.5 percent. Pork, poultry, wheat, cheese, wine, ethanol, and other goods will also see lower tariffs. Japan, the No. 3 market for U.S. farm exports, is forecast to import $12.5 billion worth of them this fiscal year.
Dan Halstrom, president of the U.S. Meat Export Federation, called it “one of the biggest developments in the history of red meat trade.”
Source: Successful Farming