A new economic study warns that U.S. corn and soybean farmers could face significant annual losses—between billions of dollars—if a new trade war with China arises from increased tariffs. The Study was conducted by the World Agricultural Economic and Environmental Services, and estimates soybean farmers could lose $3.6 to $5.9 billion, while corn farmers might see losses of $0.9 to $1.4 billion.
Additionally, the study predicted a decline in crop prices, with soybeans possibly falling by $0.60 to nearly $1 per bushel and corn prices dropping by $0.08 to $0.13 per bushel below baseline forecasts. Historical context from the 2018-2019 trade war reveals $27 billion in lost agricultural exports and substantial government subsidies for farmers.
Comments