Ricketts Introduces MARKET Act to Protect Agriculture Exports from Communist China

WASHINGTON, D.C. - Today, U.S. Senator Pete Ricketts (R-NE) introduced the Moving Away from Risk to Key Export Targets (MARKET) Act. This legislation would protect American agricultural exports from Communist China's unfair trade practices and determine alternative markets for American agricultural exports.

"Nebraska farmers and ranchers feed the country and fuel the world. But Communist China threatens this," said Senator Ricketts. "Relying on one major buyer carries risks, which is why we must develop new markets for agricultural commodities. The MARKET ACT prevents Nebraska farmers and ranchers from being beholden to Communist China."

"U.S. agriculture is extremely vulnerable to trade disruptions, a fact which soybean farmers know all too well," said Scott Metzger, President of the American Soybean Association and Ohio soybean farmer. "Soybeans are the largest exported commodity in the U.S., and the biggest global market for soybeans is China. Unfortunately, we have seen how strong markets like China take decades to build but can disappear overnight when trade tensions flare up. ASA thanks Senator Ricketts for his leadership in introducing the MARKET Act to ensure U.S. soybeans remain competitive in global export markets by enhancing the work of USDA and USTR on agriculture trade."

The MARKET Act would:

• Require the United States Department of Agriculture (USDA) and the United States Trade Representative (USTR) to conduct an annual assessment determining market access for commodities displaced by a potential trade dispute with foreign adversaries like Communist China;
  • Commodities in the assessment include soybeans, corn, beef, chicken, pork, tree nuts, sorghum, cotton, and dairy.
• Require the Secretary of Agriculture to provide recommendations that mitigate potential threats from China, including legislative and regulatory actions that reduce barriers to agricultural exports in markets outside of China.

BACKGROUND

Nebraska is the nation's fifth largest agricultural exporter, with nearly $8 billion in agricultural exports last year. It is top in the nation for beef and veal exports, and leads across corn, feed grains, and soybeans. The vast majority of these exports are to the Indo-Pacific, giving Communist China outsized leverage in disrupting Nebraska trade. The MARKET Act would help agricultural exporters de-risk from Communist China's markets and unfair trade practices.

Senator Ricketts has worked toward developing alternative markets for American agricultural exports. The Working Families Tax Cuts Act strengthens alternative export markets through a trade promotion program that provides $285 million annually for expanding commercial export markets, doubling funds for the Market Access Program and the Foreign Market Development program. Senator Ricketts' PLOT Act and AFIDA Improvement Act also reduce the malign influence of foreign adversaries like Communist China in American agriculture.

When he was Governor of Nebraska, Ricketts led trade delegation trips to expand agriculture exports in Japan and Vietnam.

Text of the MARKET Act is available here.