Trump was so happy with the trade truce that he had asked his farmers to buy more lands and machinery to increase the soybean production and yield.
Unbeknownst to him, this was actually a tactical gambit by the Chinese.
https://www.scmp.com/news/china/science/article/3031579/new-soybean-could-make-china-more-self-reliant-during-trade-war
China had, in fact, produced a new soybean hybrid called Henong 71. This hybrid soybean was being tested in Xinjiang with a real production yield of 6.7 tonnes per hectare compared to the average US yield of 3 tonnes per hectare.
China has started to plant this new breed massively in China with the intention to replace US imports. When the US farmers start to commit heavily to plant their soybeans, China could reduce the US imports substantially as its retaliatory action in the future without affecting the local supply.
Subscribe to:
Post Comments (Atom)
.jpg)
1 comment:
This is the payback time for the US and I'm not talking about the current US-China trade war.
The US obliterated China's agricultural industry in the past and resulted in China having to import huge agricultural products to feed its citizens.
Thus, China is just letting the US have a taste of its own medicine now.
Post a Comment