Trade Deal May Reopen Chinese Market for DDGS U.S. and Chinese negotiators met again today in Washington in an effort to reach an agreement that ends the ongoing trade dispute. While no deal is expected this week, it is of course hoped that there will be one soon. Bloomberg reported today that as part of these negotiations, the U.S. is seeking the removal of China’s antidumping and countervailing duties (as high as 53.7 percent and 12 percent, respectively) that have been applied on imports of U.S. DDGS since 2017. Since the duties were imposed, those shipments have declined by about 97 percent. The U.S. exported 6.46 MMT of DDGS there in CY 2015 versus only 201,694 MT in the first 11 months of CY 2018. Regaining the Chinese market...
What You Need to Know Today: Russia rejected calls for a ceasefire in the Black Sea, including a proposal to halt attacks on civilian shipping that could help restore grain flows from Ukrainian ports. Tyson Foods announced plans to permanently close its Joslin, Illinois, beef processing facili...
The big news in the cattle markets yesterday was Tyson Foods’ move to close two more beef plants. One of them, the Joslin, Illinois, plant was shuttered immediately after the announcement. The other, in Eagle Mountain, Utah, is a case-ready plant that does not slaughter cattle. Tyson also...
The Bureau of Labor Statistics (BLS) released the Consumer Price Index (CPI) on Wednesday. In July, the CPI rose 0.1 percent, seasonally adjusted, and rose 3.4 percent over the last 12 months, not seasonally adjusted. The index for all items less food and energy, or the “core” infla...
From WPI Consulting
Weighing in on strategic realignment
WPI’s team was retained by the governing board of a U.S. industry organization to review a decision, reached by vote, to invest significant assets into the development and management of an export trading company. WPI’s team conducted a formal review of this decision and concluded that the current level of market saturation would limit the benefits of the investment. Based on WPI’s analysis and recommended actions, the board subsequently reversed its decision and undertook a strategic planning effort to identify more impactful investments. On behalf of numerous clients, WPI has not only assisted in identifying strategic paths but also advised their implementation.