WASHINGTON, DC – The U.S. has finalized new trade agreements with Japan, Indonesia, and the Philippines that promise to expand access for American agriculture.
In the Japan deal, President Trump secured a 15% reciprocal tariff rate and a $550 billion Japanese investment. For ag producers, the most notable gain is Japan’s pledge to increase purchases of U.S. rice within its existing WTO quota and expand access for beef, pork, and grains. The agreement avoids previously threatened 25% tariffs on autos and goods.
Indonesia will eliminate tariffs on 99% of U.S. farm and industrial goods. That includes soybeans, cotton, wheat, and soybean meal. Indonesia is also dropping non-tariff barriers that restricted U.S. ag products.
The Philippines will drop tariffs on several U.S. agricultural exports, including soy, wheat, animal feed, and dairy. The deal is expected to reduce input costs for Philippine livestock producers. However, concerns have been raised that duty-free imports may undercut local farmers.
Altogether, these agreements could help boost U.S. ag exports across Asia while securing friendlier trade terms for a range of commodities.