University of California Report Examines How “Revoking China’s Preferred Trade Status Would Be Costly for California Agriculture”

The Giannini Foundation of Agricultural Economics, University of California released a recent report that analyzes how revoking China’s Preferred Trade Status could impact agriculture.

“Revoking [Permanent Normal Trade Relations] PNTR would likely provoke trade retaliation by China, potentially raising China’s agricultural import tariffs by 9.5%, equivalent to the change in U.S. tariffs if China’s PNTR status was revoked,” Professors Colin A. Carter and Sandro Steinbach write. “This could result in the value of California’s agricultural exports to China falling by one-third, with associated trade losses of $1 billion annually.”

The report identifies tree nuts as a sector that would be greatly impacted by this decision. Read the full report here.

Comments