b'16American Journal of Transportation ajot.comChina trade and COVID-19: A one-two punch hittingAgriculture US hardwood producerstrAnsportAtion Phase I deal offers some hope, but it is hanging by2020a thread.By Peter Buxbaum, AJOTThetradeconflictwithpurchases of an additional $75 ChinahashittheUnitedbillion worth of manufactured States hardwood sector hardgoods,whichincludeshard-andthecoronaviruspan- wood lumber.demic has made matters thatThe domestic industry was muchworse.ThePhaseInotably silent about the merits U.S.-China trade deal, inkedof the trade deal, probably for inJanuary,includedpoten- goodreason,althoughone tial benefits for United StatesRepublican congressman, who hardwoodlumberexports,represents hardwood producers but its unclear to what extentin Pennsylvania, was effusive. thedomesticindustrywillThe Phase One China Trade benefit from the accord. Dealisahugewinforthe The U.S. hardwood lumbernationsmanufacturingindus-industryreliesheavilyontryandwillbeparticularly exportsforitseconomic(PUNCHcontinued on health. Over the last ten years,page 17)ChinahasbecometheU.S. hardwood sectors largest for-eigncustomer,takingabout 25%ofallboardsproduced by U.S. hardwood sawmills.Beginning in early 2018, theTrumpadministration beganthreeroundsoftariff hikes on$250billion worth ofimportsfromChina,and theChineserespondedwith retaliatory tariffs on $110 bil-lion of U.S. products includ-inghardwoodandsoftwood lumber and logs. Chinese tar-iffs increased to 25% for oak and 20% for cherry and ash. Softwoodswerenotspared, with tariffs on Southern pine lumber exports to China dou-bling to 20%.r iPC ut : t raDew ar anDh arDwooDsThe U.S.-China trade warIn. Out.devastated the domestic hard-woodindustry.Theindus-trysawa45%dropinU.S.On tohardwoodexportstoChina,inthefirstthreemonthsof 2019. U.S. hardwood exports to China fell by 40% for thewhatswhole of 2019, yielding losses tohardwoodexportersof $153 million per quarter and leading many U.S. hardwoodnext. sawmills to cut production. In. Out. On to Whats Next AJOT Half Page 8x 10 No Bleed 2/28/20Industryrepresentatives wantedhardwoodstobe included in the U.S. Depart-mentofAgriculturesTitle:Pub:2019 Trim Size:Bleed Size:Close Date: farmreliefpackage.But,Welcome to done.whiledairyandsoybean farmers received federal aid,Welcome to what you need, when you need it. hardwood producers didnt. North Carolina Ports is more than the port with NCP 14317 - WhatsNext - AJOT - 8x10 - v1.2 NC Ports 14317 InDesign CC 4CThe coronavirus pandemicthe fastest turn times on the East Coast. Its onlymademattersworse,asalso the port with exceptional service, unique Chinasharplyreducedforestlogistical solutions, and expanded offerings, products imports in early 2020.like three neo-Panamax cranes, improved DuringJanuaryandFebru- intermodal rail service and expanded ary, the import value of logs, lumber,pulpandwoodchipsrefrigerated container capacity. Were Client:Job #:App:Colors: File Name: never donending better ways to help were down 26% from 2018 and 14% from 2019, according toyou discover the power of DONE. the Wood Resource Quarterly.Learn how NC Ports delivers In January 2020, the U.S.the worldfaster. andChinasignedthefirst phaseofatradedeal,under800.213.4430 // NCPorts.comwhich China agreed to buy an additional $200 billion of U.S. goods over 2017 levels within two years. That total called for NCP 14317 - WhatsNext - AJOT - 8x10_1.2_mech.indd 1 1/31/20 2:04 PM'