On April 2, President Trump announced the introduction of tariffs on imports to the United States in the near future. Their size depends on the trade balance between the United States and each specific partner country and varies from a base 10% to 50%.
For key trading partners, they will be 34% (China) and 20% (European Union).
Obviously, this decision could not but affect the prices of agricultural products, since many countries plan to respond to the American tariffs with mirror measures. This promises serious changes in world trade with price adjustments.
May wheat futures on the US exchange fell from $5.424 per bushel ($199 per ton) to $5.258 ($193) on April 3. However, by the close of the trading session, quotes recovered to $5.389 ($198).
- Possible retaliatory tariffs against the US should mean switching a significant part of demand for wheat to other suppliers, which should be good for South America / Europe / Russia and other Black Sea countries. But we still have to live to realize this, - commented on the situation Andrey Sizov, director of the analytical center "SovEcon". As for wheat prices in Kazakhstan, on the Eurasian Trading System exchange on April 3, class 3 wheat with 25% gluten was sold at a price of 95 thousand tenge / ton (price with VAT, EXW elevator delivery condition). The day before, they asked for 92 thousand tenge / ton for such grain.