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在线翻译:
szdaily -> World Economy -> 
Steel tariff shrapnel hits US farmers
    2018-04-16  08:53    Shenzhen Daily

LUCAS STROM, who runs a century-old family farm in rural Illinois, the United States, canceled an order to buy a new US$71,000 grain storage bin last month — after the seller raised the price 5 percent in a day.

The reason: steel prices jumped right after U.S. President Donald Trump announced tariffs.

Throughout U.S. farm country, where Trump has enjoyed strong support, tariffs on steel and aluminum imports are boosting costs for equipment and infrastructure and causing some farmers and agricultural firms to scrap purchases and expansion plans, according to recent interviews with farmers, manufacturers, construction firms and food shippers.

The impact of rising steel prices on agriculture illustrates the unintended and unpredictable consequences of aggressive protectionism in a global economy. And the blow comes as farmers fear a more direct hit from tariffs threatened by China on crops such as sorghum and soybeans, the most valuable U.S. agricultural export.

A&P Grain Systems in Maple Park, Illinois — the seller of the storage bin Strom wanted to buy with a neighboring farmer — raised its price two days after Trump announced aluminum and steel tariffs March 1 to protect U.S. producers of the metals. Strom and his neighbor backed out.

“Would that price destroy us? No,” Strom said. “But these days, you have to be smart about your expenses.”

The metals tariffs also hitting makers and sellers of farm equipment, from smaller firms like A&P Grain to global giants such as Deere & Co. and Caterpillar Inc. Such firms are struggling with whether and how to pass along their higher raw materials costs to farmers who are already reeling from low commodity prices amid a global grains glut.

The world’s two largest economies have threatened each other with tariffs on tens of billions of dollars of goods in recent weeks.(SD-Agencies)

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