Trade - US

Eric Honselman opens a shed which holds 75,000 bushels of corn he was forced to store after his regular bins were filled to capacity with corn and soybeans on the family farm in Casey, Illinois, U.S., October 25, 2018. REUTERS/Mark Weinraub

reuters.com - Mark Weinraub, P.J. Huffstutter - November 21, 2018

 . . . Across the United States, grain farmers are plowing under crops, leaving them to rot or piling them on the ground, in hopes of better prices next year, according to interviews with more than two dozen farmers, academic researchers and farm lenders. It’s one of the results, they say, of a U.S. trade war with China that has sharply hurt export demand and swamped storage facilities with excess grain . . .

 . . . U.S. farmers planted 89.1 million acres of soybeans this year, the second most ever, expecting China’s rising demand to give them better returns than other bulk crops.

But Beijing slapped a 25 percent tariff on U.S. soybeans in retaliation for duties imposed by Washington on Chinese exports. That effectively shut down U.S. soybean exports to China, worth around $12 billion last year. China typically takes around 60 percent of U.S. supplies.