What's the Background?
The Asian-Pacific region has over 4.5 billion people representing 60 percent of the world’s population. The elimination of all tariff and non-tariff barriers in this region would exponentially expand U.S. pork exports and create American jobs. The U.S. pork industry is the most competitive in the world and is well positioned to capitalize on the opportunities in the Asia-Pacific region. Over the past 10 years, on average, the U.S. has been the top pork exporting country in the world, sending $5.9 billion of pork to more than 100 countries in 2016. Exports added $50 — representing 36 percent of the $140 average value of a hog — to every U.S. hog marketed in 2016. Even with current trade restrictions, Japan is largest value market and the second??? largest volume market in the world for U.S. pork exports. In 2016, the United States exported more than 387,000 metric tons of pork to Japan, valued at nearly $1.6 billion. U.S. exports to Japan, Vietnam, The Philippines and other nations in the region are suppressed by tariff and non-tariff barriers which would be eliminated through a successful FTA negotiation.
Why Does it Matter to our Producers?
The growth of the U.S. pork industry depends on international markets where most new demand for pork originates. The Asia-Pacific region is the fastest growing economic region in the world. Competitor countries, including the European Union, are negotiating free trade agreements with Japan and other Asia-Pacific nations. The United States will lose market share if it does not negotiate FTAs with Japan and other nations in the region.
What's NPPC's Position?
NPPC urges the United States to negotiate free trade agreements (FTA) with nations in the Asia-Pacific region beginning with Japan, followed by Vietnam, The Philippines, and others.