Mikulski Urges U.S. Trade Rep, Commerce Secretary to Take Action Against Tariffs on U.S. Poultry

Letter

Date: Oct. 27, 2010
Location: Washington, DC
Issues: Trade

today sent a letter to U.S. Trade Representative Ron Kirk and Secretary of Commerce Gary Locke, asking them to respond to China's decision to impose steep tariffs on U.S. poultry products.

"I am very troubled by China's decision and what it will mean to Maryland's poultry industry," wrote Senator Mikulski, chairwoman of the Commerce, Justice and Science Appropriations Subcommittee, which funds the Department of Commerce and the Office of the United States Trade Representative. "I urge you to fight for American poultry producers and American jobs."

The Delmarva poultry industry generates $2 billion in revenue each year and is responsible for 14,700 jobs. Maryland has more than 800 chicken farms and three processing plants. Last year, Maryland's broiler production was ranked ninth nationwide with a value of nearly $650 million.

The full text of the letter follows:

The Honorable Ron Kirk The Honorable Gary Locke
U.S. Trade Representative Secretary
Executive Office of the President U.S. Department of Commerce
600 17th Street NW 1401 Constitution Avenue, NW
Washington, DC 20508 Washington, DC 20230

Dear Ambassador Kirk and Secretary Locke:

I urge you to take swift and immediate action to respond to China's recent decision to impose steep trade tariffs on U.S. poultry products.

As you know, the U.S. exports nearly $5 billion in poultry products each year. China is one of the largest export markets for our poultry industry. In recent years, U.S. poultry exports to China have totaled almost $1 billion annually.

The Delmarva poultry industry generates $2 billion in revenue each year and is responsible for 14,700 jobs. In Maryland, there are 800 chicken farms and three processing plants. Last year, Maryland's broiler production value was nearly $650 million and ranked ninth nationwide.

The U.S. poultry industry reports that many U.S. companies that export poultry products to China may face potential duty increases of fifty to one hundred percent or even more. Some of these companies have facilities and growers that are located in Maryland. These high import tariffs will undoubtedly lock American poultry producers out of China's market taking away a huge export market.

Since China accounts for such a large share of annual U.S. poultry exports, I am concerned that the loss of this market will have a harmful effect on U.S. poultry producers. It will raise poultry supplies in the U.S. market and ultimately drive down prices to U.S. poultry growers.

I am very troubled by China's decision and what it will mean to Maryland's poultry industry. I urge you to fight for American poultry producers and American jobs.

Thank you for your attention to my request. I look forward to your prompt reply.

Sincerely,
Barbara A. Mikulski
United States Senator


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