The country is lowering tariffs on corn from 5% to 2% and on frozen pork from 15% to 10%, according to the Foreign Agricultural Service of the US Department of Agriculture. The tariff on wheat imports had been 3%,
The tariff reductions for wheat and corn will take effect on December 30, 2021, while the reduction for frozen pork will take effect on July 1, 2022.
U.S. exports of corn, wheat and pork to Vietnam were valued at $ 228 million in 2020, according to the Foreign Agricultural Service. In 2020, Vietnam was the seventh destination for U.S. agricultural exports, totaling $ 3.3 billion. The strongest growth in U.S. exports to Vietnam in 2020 were soybeans and wheat, up $ 158 million and $ 64 million, respectively.
The decree comes after Vice President Kamala Harris visited Hanoi in August. Vietnam had reduced tariffs on wheat from 5% to 3% in July 2020.
Vietnam imported more than 500,000 metric tonnes of hard red spring wheat, soft white wheat, hard red winter wheat and soft red winter wheat worth $ 129 million during of marketing year 2020/21, the second in volume only for Australia, according to a joint statement from US Wheat Associates and National Association of Wheat Growers. Vietnam imports on average around 4 million tonnes of wheat per year.
âUS wheat exports to the growing Vietnam market are much slower so far this year due to the shortage and rising prices, so removing this tariff is very important for producers like me. Darren Padget, president of US Wheat Associates and producer of soft white wheat from Grass Valley, Oregon, said in a press release.
“With about half of the wheat we produce available for export each year, we depend on increased access to markets like Vietnam,” said Dave Milligan, president of the National Association of Wheat Growers and wheat grower. of Cass City, Michigan. “Here at home, the NAWG will continue to advocate for trade policies that aim to create positive opportunities for wheat farmers and their customers.”