Speaking of trade wars

[Harpy Eagle]

China launches dumping probe into U.S. sorghum imports amid rising trade tension

Beijing's action is expected to immediately hit demand for the upcoming U.S. sorghum crop, exports of which are largely used to feed China's huge livestock sector, and send shivers through the entire U.S. farm sector.

China is the top buyer of U.S. sorghum as well as soybeans, the United States' most valuable export to the world's No. 2 economy.

which do you think will have a larger negative impact?

 

[Harpy Eagle]

China corn futures rise on dumping probe into U.S. sorghum imports

 

[Bootney Lee Farnsworth]

Wait....so China will use corn as a replacement in livestock feed?

So the sorghum market will drop but corn producers are getting rich?

We have both.



I am not sure how this really make a huge difference. Sorghum crops shift to maize.

 

[Harpy Eagle]

Wait....so China will use corn as a replacement in livestock feed?

So the soybean market will drop but corn producers are getting rich?

We have both.



I am not sure how this really make a huge difference. Soy crops shift to maize.

They will use THEIR corn, not ours. That is why their corn futures went up.

The thing that people fail to understand about our Ag industry, is we need people buying our products more than they need to buy them.

China has alternatives, we do not have someone else to pick up what they do not buy.

This is why Trump's trade war is so stupid. Which industry do you think will have a greater impact on the country, their solar panels or our ag industry?

 

[Bootney Lee Farnsworth]

China has surrendered on the solar panels battle. They are being built here.

The corn option can only work for 1 year, according to the article, unless China stops exporting to replinish its stockpiles, but then the U.S. (No. 1 producer) and Brazile (no.3) will take over the markets left behind.

The price of corn will drop for a while, then, once China has spent its reserves, the price will go back up, even higher.

The article did not do a very good job of explaining what this really means and how it will change things. It's simply demonstrating a shift in demand that will need to be replenished in future years.

 

[Harpy Eagle]

China has surrendered on the solar panels battle. They are being built here.

I hardly call one company putting a single factory that is roughly 90% automated in the US as a surrender. Actually sounds more like an end around, they put their one factory here, the Govt still subsidizes them and they get around paying the tariff. And the US companies making the panales gain nothing, which was the whole point of the tariff.

The corn option can only work for 1 year, according to the article, unless China stops exporting to replenish its stockpiles, but then the U.S. (No. 1 producer) and Brazile (no.3) will take over the markets left behind.

The price of corn will drop for a while, then, once China has spent its reserves, the price will go back up, even higher.

The article did not do a very good job of explaining what this really means and how it will change things. It's simply demonstrating a shift in demand that will need to be replenished in future years.

China exporting corn is a brand new venture and they do not have much of a market share yet, stopping it will not do much harm. I think last year, or maybe 2016 was the first time they did so.

What happens when China turns to Brazil to replace the US grain stocks, who will the US sell to? Did you know that China is expending resources to build railways in Brazil to connect all the grain producing regions to a single port for the grain to be shipped out? Where do you suppose that grain will head to?

 

[BluesLegend]

China screws us over every chance they get, the trade deficit is ridiculous and you side with China over America? What's your plan just bend over and let China do whatever it wants?

 

[Harpy Eagle]

China screws us over every chance they get, the trade deficit is ridiculous and you side with China over America? What's your plan just bend over and let China do whatever it wants?

No you partisan moron, I am siding with the US.

Simple question for you, which sector is more important to their respective country...

The US Ag sector or the

Chinese Solar Panel sector?

 

[BluesLegend]

China screws us over every chance they get, the trade deficit is ridiculous and you side with China over America? What's your plan just bend over and let China do whatever it wants?

No you partisan moron, I am siding with the US.

Simple question for you, which sector is more important to their respective country...

The US Ag sector or the

Chinese Solar Panel sector?

You remind me of John McCain.

 

[Harpy Eagle]

China screws us over every chance they get, the trade deficit is ridiculous and you side with China over America? What's your plan just bend over and let China do whatever it wants?

No you partisan moron, I am siding with the US.

Simple question for you, which sector is more important to their respective country...

The US Ag sector or the

Chinese Solar Panel sector?

You remind me of John McCain.

As someone who actually served his country, I can live with that.

you remind me of Trump, someone who lacks the capacity to see beyond the rhetoric and partisan talking points.

What do you suppose the result to our economy would be if the grain sector in the US took a huge hit and lost people to export to?

 

[BluesLegend]

China screws us over every chance they get, the trade deficit is ridiculous and you side with China over America? What's your plan just bend over and let China do whatever it wants?

No you partisan moron, I am siding with the US.

Simple question for you, which sector is more important to their respective country...

The US Ag sector or the

Chinese Solar Panel sector?

You remind me of John McCain.

As someone who actually served his country, I can live with that.

you remind me of Trump, someone who lacks the capacity to see beyond the rhetoric and partisan talking points.

What do you suppose the result to our economy would be if the grain sector in the US took a huge hit and lost people to export to?

Dude China has been screwing us over for decades and you seem to support the status quo. If not then lets hear your solutions, you don't like Trump's okay then what's your solution? If its keep doing what we have been doing for the last several decades then here talk to the hand.

 

[Bootney Lee Farnsworth]

China exporting corn is a brand new venture and they do not have much of a market share yet, stopping it will not do much harm. I think last year, or maybe 2016 was the first time they did so.

World Leaders In Corn (Maize) Production, By Country
China is the No. 2 producer of corn. Are you saying they already consume all their production?

What happens when China turns to Brazil to replace the US grain stocks, who will the US sell to?

Brazil produces nearly 1/3 that of China.

 

[Harpy Eagle]

Dude China has been screwing us over for decades and you seem to support the status quo. If not then lets hear your solutions, you don't like Trump's okay then what's your solution? If its keep doing what we have been doing for the last several decades then here talk to the hand.

First, one has to understand that a trade deficit is not necessarily a bad thing. We all have trade deficits in our lives. I have a trade surplus with my employer, I give them my time and productivity and I get cash in return. I have a trade deficit with my grocery store, I give them cash money and they give me products in return. Same thing holds true for nations. We have a trade deficit with China because China makes things that the citizens of this country want to buy. Our trade deficit went up this past winters due to consumer demand, not for any other reason. US citizens were buying more goods. This is not a bad thing that everyone makes it out to be.

Second, if you are the POTUS you do not soften trade talks with them in hopes of getting China's help with North Korea.

Third, you become stronger partners with the rest of the pacific and Asia, instead of less so as Trump has done. And China has filled in the void. The TPP sucked and everyone knew it. But all Trump did was pull the plug, the great negotiator has done nothing to help us in that region.

Fourth, when you choose a battle you do so over something that matters. Trading solar panels for sorghum is a losing proposition for the US. Solar panels was a stupid choice for tariffs, unless the purpose was the hurt the alternative energy sector and not China.

 

[Harpy Eagle]

World Leaders In Corn (Maize) Production, By Country
China is the No. 2 producer of corn. Are you saying they already consume all their production?

Yeah, pretty much. But given the need they have the capacity to grow more.

 

[Bootney Lee Farnsworth]

Yeah, pretty much. But given the need they have the capacity to grow more.

So, some of our ag will suffer because of the TPP withdrawal and tariff on solar panels.

Is a new replacement trade deal in the works?

A serious trade war with China should make a lot of Walmart haters happy. Walmart would probably go bankrupt, but so would China.

It is a mistake to think that this is over and China won. This is a negotiation. We're just getting started.

The same people bitching about all this are the same who bitched about Brexit. Europe would turn their backs on the UK, but look at all those opportunities for the US.

We are all living under a system of mutually assured economic destruction. It's just like the Cold War. We'll play these little games, but ultimately things will balance out.

One thing is damn near CERTAIN!!! Obama was a shitty negotiator, to the point where it appeared as if he was deliberately being anti-America in his negotiations. His motto may have been America last, for all we know. So, I am not convinced that things will or can get worse.

 

[Harpy Eagle]

Yeah, pretty much. But given the need they have the capacity to grow more.

So, some of our ag will suffer because of the TPP withdrawal and tariff on solar panels.

Is a new replacement trade deal in the works?

Good question, is there?

I know that China has moved in an filled most of the voids left by the TPP while Trump plays games with solar panels.

A serious trade war with China should make a lot of Walmart haters happy. Walmart would probably go bankrupt, but so would China.

What would it do to the US? I do not think you can make a good argument it hurts the US less than China. But I would be willing to hear one.

It is a mistake to think that this is over and China won. This is a negotiation. We're just getting started.

I did not say that China has won. But I do not see a lot of negotiations going on and to be frank, I think that Trump's reputation for such things is a work of fiction created by the man himself.

We are all living under a system of mutually assured economic destruction. It's just like the Cold War. We'll play these little games, but ultimately things will balance out.

They will, but things could be ugly for a while.

One thing is damn near CERTAIN!!! Obama was a shitty negotiator, to the point where it appeared as if he was deliberately being anti-America in his negotiations. His motto may have been America last, for all we know. So, I am not convinced that things will or can get worse.

While Trump has a snappier motto, I don't see him as any better of a negotiator. But maybe time will prove me wrong.

 

[Tom Horn]

China has alternatives, we do not have someone else to pick up what they do not buy.

This is why Trump's trade war is so stupid. Which industry do you think will have a greater impact on the country, their solar panels or our ag industry?

If they were planning on using their own corn, why would their futures price go up? BTW, nobody grows the kind of corn the world gets from our corn belt...nobody. They'll cave...they still don't understand market economies.

 

[BluesLegend]

Dude China has been screwing us over for decades and you seem to support the status quo. If not then lets hear your solutions, you don't like Trump's okay then what's your solution? If its keep doing what we have been doing for the last several decades then here talk to the hand.

First, one has to understand that a trade deficit is not necessarily a bad thing. We all have trade deficits in our lives. I have a trade surplus with my employer, I give them my time and productivity and I get cash in return. I have a trade deficit with my grocery store, I give them cash money and they give me products in return. Same thing holds true for nations. We have a trade deficit with China because China makes things that the citizens of this country want to buy. Our trade deficit went up this past winters due to consumer demand, not for any other reason. US citizens were buying more goods. This is not a bad thing that everyone makes it out to be.

Second, if you are the POTUS you do not soften trade talks with them in hopes of getting China's help with North Korea.

Third, you become stronger partners with the rest of the pacific and Asia, instead of less so as Trump has done. And China has filled in the void. The TPP sucked and everyone knew it. But all Trump did was pull the plug, the great negotiator has done nothing to help us in that region.

Fourth, when you choose a battle you do so over something that matters. Trading solar panels for sorghum is a losing proposition for the US. Solar panels was a stupid choice for tariffs, unless the purpose was the hurt the alternative energy sector and not China.

China has intentionally dumped products in the U.S. for the express purpose of driving American manufacturing companies bankrupt so China can take over our markets. FACT!

 

[Harpy Eagle]

China has alternatives, we do not have someone else to pick up what they do not buy.

This is why Trump's trade war is so stupid. Which industry do you think will have a greater impact on the country, their solar panels or our ag industry?

If they were planning on using their own corn, why would their futures price go up? BTW, nobody grows the kind of corn the world gets from our corn belt...nobody. They'll cave...they still don't understand market economies.

Because there will be a greater demand for their corn. As it is now the tiny amount that export doesn't do much to help their market.

Not sure what you mean by "the kind of corn". Right now, nobody in the world can touch the yield we are getting ,that is for sure. When the new Census of Ag is published next year some states will have seen a 60 bushel an acre rise in just 5 years. Much of that is due to technology, and technology can be replicated other places eventually.

 

[Tom Horn]

First, one has to understand that a trade deficit is not necessarily a bad thing.

Maybe the dumbest thing I've read here in months. $500B leaving the US each year doesn't blow a hole in our economy? And that $500B is balanced out by BORROWING from the same pirates who are ripping us off with their tariffs......