Texas cattle ranchers skeptical about possible Chinese tariff

Texas cattle ranchers skeptical about possible Chinese tariff
Texas cattle ranchers say they're skeptical but confident about a potential trade dispute with China.
After a 13 year absence in the Chinese trade route, U.S. beef exports finally returned once the mad cow disease concern came to a halt.
And just before things were starting to settle in Washington, a battle has ensued.
"Who really needs who here? We know we can make it without them but have they never not been able to ship clothes over here, shoes, socks all of that stuff," Weiterman Cattle Sales rancher, Blaine Weiterman said.
Blaine Weiterman runs a cattle ranch here in East Texas. He believes that if China really follows through with their threat to put a 25 percent import tariff on U.S. beef, China would be the one to suffer the most.
"If they are selling them by the pound, say a 600 lb. calf,  he’s going to bring a $1.50, on a normal day. If this happens, he might bring a $1.35, $1.40, so it’s going to knock them back a little bit," Weiterman says.
After China proposed the tariff on U.S. beef earlier this week, it did confirm the worst-case scenario for the industry.
But local meat markets and consumers would reap the benefits.
"We're anticipating, if it goes through, a possible drop in the price of pork mostly, some beef, and we'll pass those savings along to our customers, just like we always have when prices fluctuate," said Tom Koehler Country Meat Market supervisor.
The Associated Press reports that this tariff could be a possibility only if Washington carries out its threat to raise duties on $50 billion worth of Chinese goods.
President Donald Trump and his administration has until the end of May to resolve this trade war issue.

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