Ethanol organizations expressed optimism about the signing of the historic Phase One Trade Agreement with China Wednesday, despite China’s announced suspension of its E10 ethanol mandate last week.
“We are very optimistic about the potential of this agreement for American agriculture and the renewable fuels industry—with the inclusion of ethanol and key co-products like distillers grains—and are looking forward to more specific details on the agreement,” said Renewable Fuels Association President and CEO Geoff Cooper. “America’s ethanol producers have experienced significant economic losses due to punitive Chinese tariffs on our products, and we are eager to return to a more open trading relationship with China.”
“Phase one represents a positive step in the right direction, especially once we have evidence that China has made actual purchases of U.S. ethanol and distillers grains, but given ongoing export and domestic market constraints, there is much more work to do,” said American Coalition for Ethanol (ACE) CEO Brian Jennings.
National Corn Growers Association President Kevin Ross, who was present at the White House for the signing said, “China holds tremendous opportunity for American corn, ethanol and DDGs and NCGA looks forward to learning further details of what phase one will mean for these products. As more specifics become available, we will closely monitor implementation to ensure that the commitments are upheld and that U.S. corn farmers resume trading with Chinese customers. NCGA urges the Administration to quickly commence phase two negotiations and work to resolve retaliatory tariffs.”
President Donald Trump touted the importance of the agreement to farmers and ranchers during the signing ceremony with Chinese Vice Premier Liu He. “The agreement tears down major market barriers for U.S. food and agricultural exports. China will now welcome American beef and pork, poultry, seafood, rice, dairy, infant formula, animal feed, biotechnology and much, much more.”
President Trump recognized a number of senators in attendance at the signing, including Sens. Joni Ernst and Chuck Grassley of Iowa, and Deb Fischer of Nebraska. “All they want to know about is ethanol, ethanol – but we got it done,” said Trump. “We brought home the ethanol, man.”
Soundbites from President Trump and Vice President Pence related to agriculture:
China trade agreement signing soundbites