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What is in The Phase One Agreement Between the U.S. and China?

Earlier this month, the U.S. and China came to the table to sign what is being referred to as Phase One of a trade agreement - a de-escalation designed to mutually halt the very costly escalation of tensions between the two countries.

The agriculture section of the 86-page document addresses structural barriers to trade and multiple non-tariff barriers to U.S. agricultural and seafood products, including meat, poultry, seafood, rice, dairy, infant formula, horticultural products, animal feed, feed additives, pet food, and ag biotech products. It also supports an expansion of exports for U.S. ag and seafood products.

China has agreed to purchase U.S. agricultural products worth between $40 and $50 billion each year over the next two years. China has also agreed to import grains, DDGs and ethanol valued at a minimum of $80 billion over the coming two years. Additionally a facility registration process has been implemented that will help ease restrictions on U.S. feed additive and premix product imports with ruminant-origin or poultry-origin ingredients that have been in place since 2011.

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