RAPID CITY, S.D. (KEVN) - Next week, top Chinese negotiators will be in the United States and are expected to sign the "Phase-one deal."
This deal will delay tariff escalations that were planned for this October.
Among other things, the agreement will also cut in half the current 15% US tariff on $120 billion of Chinese imports.
A representative for China's commerce ministry said the Chinese will "improve its tariff policy on wheat, corn, and other farm products based on the rules of the World Trade Organization,"
On Thursday, South Dakota Senator Mike Rounds said communication he has received on the matter is that this agreement will be positive for the agriculture industry.
"I would expect that once these have been signed, we will then watch and see what the markets do and the message that we're getting here is that is that it will be a positive thing for the commodity markets-- the ag commodity markets," said Rounds.
According to the Office of the United States Trade Representative, our total agricultural exports to China totaled $9.3 billion in 2018.