Saving Seafood

US wind energy industry is booming, but tariffs pose a threat

June 11, 2019 — In 2008, Jason Urichich was at a crossroads. He lost his home and landscaping business in Youngstown, Ohio, and decided it was time for a change. He decided to pursue a six-month program at Kalamazoo Valley Community College in Michigan for wind turbine repair.

“I was really interested in the small turbines, and at home I was trying to build one myself,” Urichich said. “I decided I didn’t know enough about it, and maybe I should go to school for it.”

A decade later that “maybe” turned into a career. He’s now a senior lead technician for Avangrid Renewables’ Locust Ridge Wind Farm in Shenandoah, Pennsylvania. The company employs some 300 technicians at its 60 commercial-scale wind facilities across the country. With five more under construction, Avangrid Renewables — which provides clean energy to major companies like Nike and Amazon’s AWS — is hiring dozens more nationwide, as demand continues to grow.

Read the full story at MSN

‘Why not lobsters?’: Mainers plead with Trump to help an industry suffering from his trade war

June 7, 2019 — The mild-mannered independent senator from Maine, Angus King, got angry as he watched President Trump announce a $16 billion bailout two Thursdays ago to help farmers who are losing money because of the U.S. trade war with China.

A guy from Idaho wearing a “Make Potatoes Great Again” hat stood appreciatively at the president’s side. So did producers of corn, soybeans, wheat and pork. They’re all getting another round of handouts from the Department of Agriculture.

But many of King’s constituents have also been suffering, and they’re getting the shaft from their government. Lobster exports to China, which had been booming for years, have plummeted 84 percent since Beijing imposed retaliatory tariffs last July, according to new data from the Maine International Trade Center. The growing Chinese middle class is eating more lobsters from Canada, which now cost them a quarter to a third less but taste no different.

“We’ve got an industry that’s suffering exactly the same kind of negative effects,” King said in an interview. “Why not lobsters? There’s no logical distinction that I can see. … I’m sure a lot of people in Maine had the same reaction I did watching that press conference: What are we, chopped lobster?”

To be sure, chopped lobster from Maine sounds delicious – especially if it’s thinly coated in mayonnaise and stuffed into a hot dog bun that’s been lightly toasted in butter. But, in all seriousness, King’s frustration underscores the degree to which Trump and his political appointees in Washington have been picking winners and losers. The lobster industry has been one of the losers.

Read the full story at The Washington Post

Alaska senator requests tariff exemption for state’s seafood

May 30, 2019 — An Alaska senator has written to the U.S. trade representative asking for Alaska fish species to be removed from a list of goods facing tariffs, a report said.

Republican Sen. Dan Sullivan sent a letter to U.S. Trade Representative Robert Lighthizer last week, The Kodiak Daily Mirror reported Tuesday.

As part of an ongoing trade dispute with China, earlier this month the Trump Administration announced an increase in tariffs from 10% to 25% on $200 billion worth of products and tariffs on an additional $300 billion worth of Chinese imports.

Sullivan said he asked Lighthizer to consider removing tariffs from seafood fished in Alaska including salmon, some species of rockfish and flatfish, Pollock, and Pacific cod.

The increase in tariffs is “creating tremendous uncertainty” for the industry and “is deeply troubling, because they continue to potentially negatively impact the very Americans the administration is trying to help,” Sullivan’s letter said.

The letter was also signed by Sen Lisa Murkowski and Rep. Don Young, who are both Republicans.

Read the full story at the Associated Press

Maine’s lobster exports to China plunge 84 percent due to trade war

May 16, 2019 — The latest data from the Maine International Trade Center indicates that the state’s lobster exports to China plunged dramatically in the wake of retaliatory tariffs placed on a wide range of U.S. goods.

The tariffs, implemented in July 2018, had an immediate affect on the state’s lobster industry. Prior to the tariffs, Maine had been on track to have a record-setting year, with USD 87 million (EUR 77.8 million) worth of lobster exported through June 2018, over double the USD 42 million (EUR 37.5 million) shipped through the same period in 2017.

Soon after tariffs were implemented, however, Maine’s exports to China nearly disappeared completely, and according to the latest data from the MITC exports have plunged nearly 84 percent since the tariffs were implemented.

The latest talk on the trade front doesn’t point to any improvement in those numbers any time soon. U.S. President Donald Trump threatened and then implemented further tariff increases on 10 May. In response, China fired back with its own increased tariffs, including additional tariffs on a number of seafood products.

Despite the threat of escalation, for many lobster exporters, the damage has already been done. Whether the tariffs increase or not, most of the business had already dried up.

“Retaliatory tariffs, or a move upward to 25 percent, doesn’t really change anything for U.S. exporters to mainland China,” Sheila Adams, the vice president of sales and marketing for Maine Coast Lobster, told SeafoodSource.

Read the full story at Seafood Source

Alaska seafood industry making plans for China tariff impact

May 13, 2019 — Alaska’s seafood industry is exploring strategies to reduce damage from the Trump administration’s trade dispute with China, officials said.

The Alaska Seafood Marketing Institute plans to explore how Alaska can enter additional markets to expand the state’s seafood brand, The Kodiak Daily Mirror reported Thursday.

The U.S. plans to raise tariffs on $200 billion in Chinese imports from 10% to 25% Friday.

China is the largest export market and re-processor of Alaska seafood, with about $989 million worth of sales to China in 2017 alone. That is more than 50% of the state’s seafood products, the institute said.

The institute is looking at “both traditional and nontraditional markets” for seafood globally, Executive Director Jeremy Woodrow said.

Read the full story from the Associated Press at KTOO

China retaliates by upping tariffs, sending markets spiraling

May 13, 2019 — On Friday, 10 May, the United States formally implemented higher tariffs on USD 200 billion (EUR 178.6 billion) of Chinese goods – a move that had been announced by U.S. President Donald Trump on Sunday, 5 May.

On Monday, 13 May, China responded with its own announcement that it will raise tariffs on USD 60 billion (EUR 53.4 billion) of American goods from 10 percent to 20 or 25 percent.

The back-and-forth occurred after negotiations between the two countries appeared to have suffered a setback on 10 May after talks in Washington D.C. failed to produce an agreement on reducing the trade tensions.

Read the full story at Seafood Source

Rabobank: Global seafood trade now worth USD 153 billion

May 7, 2019 — Seafood is one of the world’s most important food commodities and the trade continues to grow in line with rising demand and supply, but the dynamics of that trade are likely to change in the coming years, according to a new seafood trade map and report compiled by Rabobank International.

With an estimated traded value of USD 153 billion (EUR 136.5 billion) in 2017, increasing by a compound annual growth rate (CAGR) of 4 percent in the five-year period 2012-2017, the global seafood trade has been led by value growth rather than increased volumes. As Rabobank’s “World Seafood Map 2019” finds, the largest trade flow in value terms is still from Norway to the E.U., mainly consisting of salmon and some whitefish. This is followed by trade flows of salmon and crustaceans from Canada, and flows of whitefish and crustaceans from China to the U.S. market.

Rabobank Analyst Behyhan de Jong, who compiled the map, told SeafoodSource that in 2013, the average price of salmon in Norway was NOK 40 (USD 4.60, EUR 4.11) per kilogram, but this had increased by 50 percent to a level of NOK 60 (USD 6.91, EUR 6.16) in 2018. Meanwhile, the supply growth of shrimp has led to decreased prices, however, increased exports, “particularly from India and Ecuador,” have driven an increased crustacean trade globally, added de Jong.

Underpinned by the importance of localized production and the rising global demand for products, Rabobank expects seafood to maintain its standing as one of the most traded food commodities. Processing and re-exports are also important contributors to the traded volumes.

Read the full story at Seafood Source

Trump announces tariff increases against Chinese goods

May 6, 2019 — U.S. President Donald Trump on Sunday, 5 May, escalated the trade war between the United States and China when he announced his intention to raise a 10 percent tariff on USD 200 billion (EUR 178.6 billion) of goods to 25 percent on Friday 10 May.

That hike will affect numerous types of seafood products already under the 10 percent tariff.

“The Tariffs paid to the USA have had little impact on product cost, mostly borne by China,” Trump tweeted Sunday afternoon. “The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!”

In addition, another USD 325 billion (EUR 290.3 billion) of goods that have previously escaped tariffs will also be hit by the 25 percent fee. That would cover the remaining products China, the largest importer to the U.S., ships to America.

The move from 10 to 25 percent was originally supposed to take place in January, but U.S. officials announced a postponement of the move in December as the countries with the world’s largest economies worked to resolve their trade disputes.

However, as it appeared both sides were close to reaching a deal in March, Trump announced the tariffs would remain “for a substantial period of time.”

Read the full story at Seafood Source

An international airplane feud could crimp one of Alaska’s most lucrative fisheries

May 3, 2019 — A new twist in a decade-long trade war over airplanes could crimp one of Alaska’s most lucrative fisheries: The European Union is threatening new import taxes on Alaska pollock.

The tariffs stem from a feud over government support for the American company Boeing and European company Airbus. Earlier this year, the World Trade Organization issued separate rulings that said both companies have received illegal subsidies.

In response, both the U.S. and EU last month proposed tariffs on billions of dollars worth of the other’s exports.

The potential effects underscore the global nature of the market for Alaska fish products, of which Europe and Asia are big consumers.

The proposed EU tariffs on pollock would hit the largest market for fillets of the Bering Sea whitefish. European processors turn blocks of frozen pollock into fish sticks and fish pies; more than $250 million in exports go to Europe each year, or a little less than 20% of the $1.4 billion value of the total annual pollock catch.

Read the full story at KTOO

Europe’s USD 20 billion tariff countermeasure proposal puts US seafood in the firing line

April 18, 2019 — A public consultation on a preliminary list of products from the United States on which the European Union may take countermeasures, in the context of the ongoing Boeing dispute at the World Trade Organisation (WTO), has been published by the European Commission (EC).

The proposed tariffs are in response to the long-running dispute over subsidies paid by the United States to airplane-maker Boeing and by Europe to Airbus.

A range of U.S. exports into the E.U. are covered by Brussels’ list – from aircrafts to chemicals and agri-foods. In total, these goods are estimated at around USD 20 billion (EUR 17.7 billion).

In terms of seafood, the many products currently listed for additional import duties if they are originating in the United States include frozen Atlantic, Danube, and Pacific salmon, frozen albacore and yellowfin tuna, frozen cod and Alaska pollock, frozen and live lobster, frozen coldwater shrimp, scallops, and squid.

In a statement, E.U. Trade Commissioner Cecilia Malmström said that European companies must be able to compete on fair and equal terms.

Read the full story at Seafood Source