House Agriculture Committee Chairman K. Michael Conaway (R-TX) issued the following statement in regard to an announcement by by the Office of the U.S. Trade Representative (USTR) that the U.S. will request a Dispute Settlement Panel against China concerning that nation’s $100 billion in excess subsidies—in a single year—for corn, rice, and wheat. USTR also announced that the U.S. will pursue enforcement action against China for its illegal Tariff Rate Quota administration which has harmed U.S. farm and ranch families:
“Over the course of the past two years, the House Agriculture Committee has held extensive hearings concerning the predatory trade practices of foreign countries which employ enormous subsidies, high tariffs, and non-tariff trade practices to advantage their agricultural sectors in violation of their own trade commitments to the harm of U.S. farm and ranch families.
“As egregious as China’s actions are with regard to corn, wheat, and rice, they pale by comparison to China’s conduct in regards to cotton, which continues to threaten the viability of the U.S. cotton industry. It is critically important that the U.S. government take prompt action to stop China’s assault on America’s cotton farmers.
“Trade is critical to the United States and particularly to agriculture. Agricultural exports are one of the few bright spots in our balance of trade in what is otherwise a dismal trade deficit in favor of our trading partners. What’s more, America plays a leading role in feeding a growing and hungry world. But, critical as trade is, confidence among Americans—including among our farmers and ranchers—in the framework of our agreements, at least as they have been enforced, is sharply waning. Put simply, Americans are tired of being taken advantage of. The U.S. government must restore trust in trade if America is ever to move forward with an aggressive agenda on trade.
“While the U.S. government’s action today is long in coming and only a first small step, I welcome the action and urge much, much more to come in order to one day deliver to America’s farm and ranch families—and all Americans—a fair shake at what has been to date a decades old unfulfilled promise of free markets and a level playing field.”