Dr. Rob Johansson, Director of Economics and Policy Analysis at the American Sugar Alliance (ASA), testified today in front of the United States Trade Representative (USTR) on the catastrophic harm foreign overcapacity and over-quota sugar imports have had on sugarbeet and sugarcane family farmers and the workers who process those crops into American-made sugar.
On behalf of the family farmers and workers ASA represents, Dr. Johansson asked USTR to use Section 301 tariff authorities to address unreasonable and discriminatory foreign trade practices, to prevent default on sugar loans, and to ensure more American farms and factories do not go out of business.
“Foreign governments are cheating the system by subsidizing their own sugar producers by billions of dollars and then exploiting outdated and weakened U.S. sugar tariffs at the expense of American farmers, American workers, and American households.
“Over the past two years, excess imported sugar, due to unreasonable foreign trade practices and outdated over-quota sugar tariffs, has resulted in $3 billion in lost income for domestic sugar producers.
“We cannot withstand another year of losses. Without a swift and sustainable solution, American family farms and American factories will go out of business.”
Dr. Rob Johansson’s testimony also highlighted how taking action to defend American sugar producers is fully aligned with President Donald Trump’s commitment to put American farmers, workers, and food security first.
“We deeply appreciate that President Trump and this Administration have committed to advancing policies that support domestic businesses – including farmers – strengthen critical domestic supply chains, and uphold fair trade rules. The U.S. sugar industry is a prime example of a vital U.S. sector being unduly harmed by foreign subsidies and foreign excess capacity.”
Over-quota subsidized foreign sugar imports continue to enter the U.S. market, requiring USTR to take urgent action before American sugar producers face catastrophe – including potential sugar loan forfeitures.
“Without updated tariff rates for over-quota sugar, artificially cheap foreign sugar will continue to flood into the U.S. market causing harm to family farmers and putting at risk the domestic supply chain for sugar…Additional duties will counteract the foreign structural excess capacity and production on the world sugar market.”
Read the full testimony from Dr. Johansson as prepared here.
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American Sugar Alliance
