Washington Report: Expanding Markets for Nebraska Products

As the third largest economy in the world, Japan is a vital trade partner of the United States, especially agriculture producers in Nebraska’s Third District. According to the Nebraska Department of Agriculture, more than half of Nebraska’s pork exports and more than a quarter of our state’s beef exports were purchased by Japan last year, totaling $156 million and $405 million respectively. Japan is Nebraska’s largest export market for pork and eggs, our second largest market for beef, and our third largest market for corn and overall ag exports.

The mutual benefit of a strong trade relationship for Third District producers and Japanese consumers is extraordinary. Sales of Nebraska beef to Japan have increased exponentially over the last two decades, as our producers have worked hard to meet demand for high-quality meat prized by Japanese consumers. Expanding cooperation and market access for Nebraska’s top-notch products continues to hold even greater promise for the future. As Chairman of the Ways and Means Committee’s Subcommittee on Trade and co-chair of the U.S.-Japan Caucus, I am working to build on our historic partnership.

While progress on trade with Japan has been significant in the 21st century, Congress can and must do more to address both tariff and non-tariff barriers to trade. An agreement signed by President Trump in 2019 reduced tariffs on an estimated 90 percent of food and agriculture products exported to Japan; however, there are additional opportunities to expand our partnership with Japan. Congressionally-approved trade agreements are the strongest way to support American producers and consumers, and a comprehensive agreement should be the next step to maximize cooperation and growth between our nations.

This week, I joined several of my Ways and Means colleagues on a visit to Japan where we met with Prime Minister Fumio Kishida, Foreign Affairs Minister Yoshimasa Hayashi, and other Japanese officials to discuss the importance of our countries’ ties and mutual economic opportunity. Japan is not only an important economic partner but also a critical ally for security in the region. I was grateful for the chance to join these leaders in looking to the future and am optimistic about what we can accomplish as we continue to work together.

As China and North Korea continue to posture aggressively, it is as important as ever for the United States to strengthen our bonds with and reaffirm our support for those who share our values.

Taiwan is another significant ally in the Indo-Pacific region, and last week, with my support, the House passed United States-Taiwan Initiative on 21st-Century Trade First Agreement Implementation Act. This bill expresses congressional support for the initial agreement on trade with Taiwan and imposes requirements for congressional consultation of any further negotiations between the United States and Taiwan.

Additionally, I have introduced a resolution calling for a bilateral trade agreement to avoid double taxation between the U.S. and Taiwan. While the United States and Taiwan cannot enter a formal treaty addressing the tax treatment of international investment, similar tax treatment can be achieved through legislation passed by each country.

Advancing the long-term economic stability American businesses and our trusted allies need to invest for the future and combat the influence of bad actors are among my top priorities in Congress. Any time we can increase opportunity to sell our top-notch products to eager consumers in Japan is a win for Third District farmers and ranchers. I will continue to work to expand markets for Nebraska products while advancing American interests abroad.