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Jamie Mackay: The Country host on Donald Trump proposing tariffs on agriculture imports · Best of Business

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  Speaker 1: You're listening to a podcast from Newstalk ZEDB. Follow this
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  Speaker 2: This is one to watch. The President of the United States,
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  Speaker 2: Donald Trump today took to his social media platform Truth
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  Speaker 2: Social and said that he would introduce an agricultural tariff
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  Speaker 2: on all agricultural imports coming into the United States from
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  Speaker 2: April to second This is obviously alarmed quite a few
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  Speaker 2: people around the world, no less than here in New Zealand.
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  Speaker 2: We spoke to Nathan Guy from the Meat Industry Association
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  Speaker 2: earlier in the program. He said he's worried. The rate
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  Speaker 2: at which the tariff might be introduced is obviously the
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  Speaker 2: key factor that everyone wants to know. We export more
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  Speaker 2: than a billion dollars worth of dairy to the US.
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  Speaker 2: It's our second largest largest market for export goods, and
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  Speaker 2: the red meat sector was up something like sixty percent
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  Speaker 2: from January numbers. Jamie McKay is the host of the Country.
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  Speaker 2: He's with us to wrap the rural news for today.
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  Speaker 3: Hi, Jamie, I was equally shot Ryan and just remember
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  Speaker 3: the US might be our second biggest trading partner now
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  Speaker 3: having overtaken Australia, but it's the biggest market for our
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  Speaker 3: red meat, especially our beef, although they're buying a lot
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  Speaker 3: of high end lamb at the moment. You know, our
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  Speaker 3: lamb wrecks and all that as well. But beef exports
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  Speaker 3: to the US rows twenty four percent in volume a
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  Speaker 3: year on year from January a year ago, surged seventy
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  Speaker 3: three percent in value. The whole thing's worth well, the
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  Speaker 3: whole red meat export market's worth an excess of ten
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  Speaker 3: billion dollars to US now. So if he slaps a
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  Speaker 3: Trump a trump, let me try, if he slaps a
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  Speaker 3: terrify on, who knows what it'll be. China's at ten percent,
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  Speaker 3: Canada and Mexico are at twenty five. You'd have to
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  Speaker 3: think it would sit somewhere round about there. Our only
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  Speaker 3: saving grace, Ryan is Trump loves hamburgers, and we need
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  Speaker 3: our lean beef to mix with that US domestic grain
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  Speaker 3: fed beef to produce burger patties. That might be our
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  Speaker 3: saving grace.
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  Speaker 2: I genuinely hope that something like that. You know that
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  Speaker 2: there is some serious diplomacy going on behind the scenes
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  Speaker 2: right now, because that has the potential to be quite
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  Speaker 2: devastating to us.
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  Speaker 3: Oh absolutely, And whichever way you slice these Trump tariffs up,
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  Speaker 3: it's bad news for US. We're an exporting nation that
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  Speaker 3: depends on free trade, that has benefited from free trade.
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  Speaker 3: If that's not an oxymoron around the world. And you
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  Speaker 3: know he's putting the squeeze on China. China is our
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  Speaker 3: biggest export market. They're going to have less money to
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  Speaker 3: buy stuff from US. And I think the other story
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  Speaker 3: is and someone like Brad Olsen, who you've just had on,
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  Speaker 3: would be much better qualified to talk about this than me,
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  Speaker 3: but all these tariffs are going to add to inflationary
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  Speaker 3: pressures in the US. US inflation stays high, our infrast
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  Speaker 3: rates are probably going to stay that higher or not
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  Speaker 3: drop as much as they could. So look, he's playing
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  Speaker 3: the whole world at the moment, not only when it
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  Speaker 3: comes to war games, but also when it comes to trade.
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  Speaker 3: As someone said, we're in a fully fledged world trade
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  Speaker 3: war at the moment, or on the brink of one.
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  Speaker 2: Certainly. Now we've got another global dairy trade auction tonight.
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  Speaker 2: What are you expecting? They've been pretty good lately?
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  Speaker 3: Yeah, they've been pretty good. The last one called its
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  Speaker 3: jets orbit. All the banks are sitting and Fonterra are
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  Speaker 3: sitting around ten bucks. It'splimming good money. Let's make no
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  Speaker 3: bones about that one. Look the guy. I go to
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  Speaker 3: Mike McIntyre chart and he's pretty accurate. He's predicting down
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  Speaker 3: three percent and all this uncertainty. You would imagine around
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  Speaker 3: the world. The world markets have had a bit of
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  Speaker 3: a tumble to day off what Trump's doing with Ukraine
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  Speaker 3: and all that sort of stuff, so I would expect
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  Speaker 3: not maybe not a somber result. He's picking down three percent,
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  Speaker 3: Maybe that wouldn't be a bad result. The main thing
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  Speaker 3: is we're getting well through the season. The volumes are
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  Speaker 3: starting to slow down or webit off the back of
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  Speaker 3: dry especially in the North Island. So if we can
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  Speaker 3: lock and load teen bucks, dairy farmers would take it.
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  Speaker 2: Brilliant Jamie, Thank you for that. Jamie McKay hosted the
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  Speaker 2: Country For.
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