Source: POLITICO'S MORNING AGRICUTLRUE, 6/1/20

The Trump administration on Friday also announced another round of products that would be excluded from tariffs on Chinese goods, and some of the biggest winners are U.S. seed companies, including Wisconsin-based A.P Whaley and California’s Bejo Seeds, per Pro Trade.

The 12 new seed exclusions are backdated until September 2018, when Trump first imposed a 10 percent tariff on the seeds as part of a larger trade action. But they expire in August, meaning the companies could soon face increased duties again unless the exemptions are renewed.

The American Seed Trade Association, working with the Hogan Lovells law firm, requested the carve-outs on behalf of its members. China is the U.S. seed industry’s fourth-largest trading partner. In their requests for tariff relief, the companies stressed China’s importance as a supplier for certain varieties because of its ideal climate and ready availability of workers experienced in hand pollination and intensive crop management.

“Moreover, the companies cannot simply move to a new country and expect results overnight; it could take up to 10 years to duplicate what they have done with their production in China,” the ASTA said in its tomato seed application.

So far, USTR has excluded 20 seed categories from the tariffs, including cucumber, cantaloupe, carrot, eggplant, kidney bean, lettuce, honeydew, mung bean, hot pepper, sweet pepper, radish, squash, tomato and watermelon seeds.