USDA and USTR announce continued progress in implementation of U.S.-China agreement
The U.S. Department of Agriculture (USDA) and the Office of the U.S. Trade Representative (USTR) Tuesday announced continued progress in the implementation of the agriculture-related provisions of the U.S.-China Phase One Economic and Trade Agreement. The Agreement entered into force on February 14, 2020, and the recent actions described below build upon the actions announced by USDA and USTR on February 25 and March 10.
Among the recent actions:
- Both countries signed a regionalization agreement that, in the event of a detection of highly pathogenic avian influenza or virulent Newcastle disease in a particular region of the United States, will allow U.S. poultry exports from unaffected regions of the country to continue (APHIS Regionalization Protocol Announcement). This action will help protect the increased access American farmers have gained in China’s poultry market. U.S. poultry exports have the potential to exceed $1 billion per year.
- China notified the United States of proposed maximum residue levels for three hormones commonly used in U.S. beef production. This recognition by China of safe and science-based U.S. production methods particularly benefits trade with China in beef, a fast-growing market that imported $8.4 billion worth of beef products in 2019.
- China updated its list of U.S. facilities eligible to export distillers dried grains with solubles (DDGS) (Updated DDGS Facility List). In 2015, U.S. producers exported $1.6 billion worth of DDGS to China. This action, if coupled with the removal of other trade barriers, will allow U.S. exporters to recapture this market.
- The U.S. Food and Drug Administration published a notice to facilitate the registration of animal feed manufacturing facilities for export to China (FDA Notice to Animal Food Exporters). In addition, in response to delays caused by the COVID-19 outbreak, China announced a streamlined process for registering new U.S. feed products for export (Updated Registration Process Announcement).
“These steps show that China is moving in the right direction to implement the Phase One agreement,” Secretary Perdue said. “We will continue to work with China to ensure full implementation of its commitments and look forward to seeing further improvement and progress as we continue our ongoing bilateral discussions.”
“We are working with China on a daily basis as we implement the Phase One trade agreement,” Ambassador Lighthizer said. “We recognize China’s efforts to keep the commitments in the agreement and look forward to continuing our work together on trade matters.”