The U.S. and China have reached a trade deal to temporarily reduce reciprocal tariffs. The U.S. will cut tariffs imposed on Chinese imports to 30% and Chinese duties on U.S. goods will fall to 10%, effective for 90 days.
The Council, in a statement issued earlier this week, shared: “The U.S. Grains Council (USGC) thanks President Trump and his administration for continuing to work with one of our largest trading partners to level the trade playing field. This 90-day window will allow more time for ongoing negotiations, positive news for both our countries. We hope it is the first step in a new trade relationship between China and the United States.”
The Council also put out a statement on Friday, May 9 regarding the development of the trade deal with the United Kingdom (U.K.) when the White House issued a statement announcing a trade deal aimed at improving U.S. companies’ access to markets in the U.K., including a major victory for U.S. farmers and U.S. ethanol producers.
According to the statement, the trade deal will expand U.S. market access in the U.K. and create an opportunity upwards of $5 billion in new exports for U.S. farmers, ranchers and producers.
The deal will specifically include more than $700 million in U.S. ethanol exports, via a new tariff-free quota for ethanol, applying to the first 1.4 billion liters or 368 million gallons.
The deal also includes $250 million in other agricultural products and increases U.S. competitiveness in the U.K.’s procurement market. It establishes commitments around intellectual property, labor and environment, maximizes competitiveness in the aerospace community and secures the supply chain for pharmaceuticals.
“This deal is a huge win specifically for U.S. ethanol producers, allowing them to expand even more into our second largest market for ethanol,” said Council President and CEO Ryan LeGrand. “It’s a crucial step forward in the continued positive relationship between our two countries, and we greatly appreciate all the Trump Administration has done to expand reach for U.S. ethanol.”
The U.K. imported 226.6 million gallons of U.S. ethanol in the 2023-2024 marketing year, making it the second largest importer of U.S. ethanol, for a total of just over $529 million.
About The U.S. Grains Council
The U.S. Grains Council develops export markets for U.S. barley, corn, sorghum and related products including distiller’s dried grains with solubles (DDGS) and ethanol. With full-time presence in 28 locations, the Council operates programs in more than 50 countries and the European Union. The Council believes exports are vital to global economic development and to U.S. agriculture’s profitability. Detailed information about the Council and its programs is online at www.grains.org.