BELLE FOURCHE, S.D, (KEVN) - A new trade deal between the U.S and Japan was announced at the G-7 summit in France and it could be helping the U.S. agricultural industry.
The new trade deal between U.S. and Japan could affect the beef industry. (KEVN)
The agriculture industry may look different after President Trump announced a new trade deal with Japan.
The deal involves Japan cutting tariffs on U.S. products like beef, pork, wheat and dairy. Japan is also expected to buy 2.5 million tons of corn from the U.S.
"I think it's good that he is being tough on people that are probably taking advantage of us in the past. So I think we have to get through a little bit of the tough times to get through the good times,"Lisa Tescher, a Wyoming rancher, said.
In 2017, the U.S pulled out of the Trans-Pacific Partnership because President Trump wanted to negotiate bilateral agreements.
This new deal is intended to offset some of the tariffs with China affecting crops like soybeans, grains and even meat and dairy products.
It's a fair deal in Jerry Mobley's eyes.
"I see it as absolutely great thing. It levels the playing field with the TPP countries. And as long as we can have a level playing field, the quality of our beef will speak for itself, Jerry Mobley, a Wyoming rancher, said.
However, a political science associate professor at the School of Mines & Technology said it's actually not fair.
"Japan doesn't have the capacity China does. They have agricultural issues of their own that they can definitely use some of the corn, some of the soybeans, some of the other crops. But they just aren't going to be big enough to take it all and they know that. So despite what the U.S. says, I don't think it's going to be enough to really offset the damage that many farmers might feel from omitting China," John Dreyer, a South Dakota School of Mines & Technology Political Science Associate Professor, said.
However, the deal is not officially set in stone.
Though, Tescher sees the trade deals affecting the grain feeding her animals she said " we just have to be strong and get through the negotiation part."