Registration was successful!
Please follow the link from the email sent to

Trump's Trade War Causes Mexico to Seek Russian Wheat – Reports

Subscribe
The ongoing tariff wars waged by the US leadership have reportedly prompted Mexico to seek other suppliers of grain in order to reduce its dependence on its northern neighbor.

Deteriorating trade relations between the United States and Mexico have prompted the latter to turn to Russia and Latin American countries in order to satisfy the country’s demand for wheat.

According to Reuters, "Mexico, the top importer of US wheat, is increasingly turning to cheaper supplies from Russia"” and as US grain potentially becomes more and more expensive due to tariffs imposed by the Mexican government, the US’s market share will continue to decline further.

U.S. President Trump speaks about his summit with Russia's President Putin during meeting at White House in Washington - Sputnik International
'Tariffs Are the Greatest': Trump Threatens to Hit Trading Partners With Duties
Jose Luis Fuente, the head of Canimolt, a Mexican trade group, which represents 80 percent of Mexican millers, said that while Mexico will continue buying American wheat due to the proximity factor, the country "can’t continue to have this absolute dependence."

"It’s important to send signals to Mr. Trump," he said.

A US farmer from Kansas named Ken Wood also remarked that the loss of the Mexican market is a serious blow to his business as wheat prices tumbled.

"It’s frustrating. Mexico’s a natural market for us," Wood said, adding that "break-even might be our best hope this year."

READ MORE: US to Unveil Plan to Provide $12Bln in Aid to Farmers Hit by Tariffs — Reports

The Trump administration has already touted a new upcoming plan to allocate $12 billion in emergency aid to American farmers who have been hurt by the latest import tariffs.

Earlier, Washington announced that it would impose 25 percent tariffs on steel imports and 10 percent on aluminum imports on the European Union, Mexico and Canada beginning June 1, sparking a trade war and retaliatory measures from the affected countries.

Newsfeed
0
To participate in the discussion
log in or register
loader
Chats
Заголовок открываемого материала