Trade

• [New] Following the conclusion of the USTR investigation, the U.S. threatened to impose retaliatory tariffs of up to $2.4 billion on a range of French products including champagne, wine, cheese and handbags.
• [New] There are concerns that recent tariff hikes are protectionist and could get in the way of India becoming a part of the global supply chains.
• [New] The growing power of China is reshaping the priorities of the Atlantic alliance, which traditionally focused on the threat from Russia but now is seeking a consensus among Western nations that Beijing is no longer a benign trading partner.
• [New] With the UK now setting its own trade policy, small and medium businesses are looking for new global opportunities - with SMEs citing the most positive aspect of leaving the EU being the possibility of new trade deals in countries outside of it.
• [New] U.S. trade and economic policy over the next four years will likely be quite different than it was prior decades, but it is clear that both the United States and Korea have strong interests in maintaining a solid and open trading relationship.
• [New] South Korea should impose measures to restrain growth in bilateral trade and limit investment in China for fear of the strategic consequences of becoming subordinate to China's growing economic power.
• [New] The new free trade agreements among Asean, Australia and New Zealand will bring in new trade and employment opportunities for 2021 and beyond.
• [New] Thailand will be able to export the majority of its products to the other 14 member countries without tariff constraints as the member countries will gradually reduce tariff rates to 0%.
• [New] Israel will further increase international trade and foreign direct investment (FDI) and vice versa with their new trading partners in the Middle East region.
• [New] The trade of kangaroo skins and meat into the United States could be halted under a bill introduced in US Congress this week.
• [New] Washington politics and policy are lining up to create a trade environment that will incentivize companies to build up their North American supply chains and invest in expanding production capacity in the United States.
• [New] World soybean meal trade is projected to climb 14.5% to 78.9 million tons by 2030/31, supported by broad-based growth in demand from expanding commercial livestock and poultry production and adoption of modern feed rations.
• [New] The three leading soybean exporters - the United States, Brazil, and Argentina - are projected to account for nearly 90% of world soybean trade by 2030/31.
• [New] Chinese demand will drive continued growth in soybean trade during the next 10 years, as world soybean imports climb 46.2 million tons (26.7%) to 219.2 million tons.
• [New] The eight largest wheat exporters - the EU, Russia, Canada, the United States, Ukraine, Australia, Argentina, and Kazakhstan - are projected to account for 91.0% of world trade in 2030/31.
• [New] China is projected to remain the leading sorghum importer, with imports rising from 7.1 million tons in 2021/22 to 7.7 million tons in 2030/31.
• [New] World wheat consumption is projected to grow a total of 6.9% over the decade, while wheat trade expands 11.2% (21.5 million tons).
• [New] World rice consumption is projected to increase a total of 4.1% over the projection period and rice trade by 17.3% (7.3 million tons).
• [New] Through 2030, world corn trade is projected to increase 22.5% (41.8 million tons) and soybean trade 26.7% (36.2 million tons), the largest projected gains among bulk commodities.
• [New] Rising global demand, particularly from emerging economies, supports projected growth in wheat trade, but sustained price competition from Russia, Ukraine, and the EU is projected to keep U.S. exports flat.
• [New] Among Australia's top ten trade partners, six have committed to net zero by 2050 (Japan, New Zealand, South Korea, the United Kingdom, the United States and Taiwan); and China (including Hong Kong) has committed to net zero before 2060.

Last updated: 21 February 2021