NEW YORK/HONG KONG/BEIJING (Reuters) - Apple farmers across the U.S. Northwest fear they will be the next victims of a U.S.-China trade war that left cherry growers in the same region with weak prices and having to scramble for alternative buyers because of prohibitive Chinese tariffs.
Gala apples by the box are for sale at Estes Fruit Stand in East Wenatchee, Washington, U.S., September 2, 2018. REUTERS/Lindsey Wasson
U.S. President Donald Trump has dealt a blow to farmers this year with strong-arm trade tactics that have prompted retaliation from key markets for U.S. products, including the sweet cherries and apples that speckle landscapes across the Western United States from summer through autumn.
“We’d like this to be settled right away, but it doesn’t seem like it will be, so we’re just holding on,” said Ray Norwood, director of sales and marketing for Auvil Fruit Co, a Washington grower of cherries and apples.
The apple is the state’s top agricultural crop, representing some $2 billion to $2.5 billion in sales each year, according to the Washington Apple Commission. While the bulk of these apples are consumed domestically, about 30 percent are exported and are vulnerable to tariffs.
China is the world’s largest producer of the fruit, but it has also become a major destination for U.S.-grown varieties like Red Delicious and Gala apples, according to industry experts.
Cherry producers, which ship about a third of their fragile and highly perishable crop overseas, saw shipments held up at Chinese ports and ultimately slapped with prohibitive duties in the harvest, which ran through mid-August. That had a notable impact on Auvil’s bottom line, Norwood said.
Auvil