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Georgia firms brace for dwindling business

By Zhang Ruinan in New York | China Daily | Updated: 2018-03-31 10:37
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From its big manufacturing companies to its small pecan growers, the US state of Georgia counts China as a major trading partner. [Photo/VCG]

From its big manufacturing companies to its small pecan growers, the US state of Georgia counts China as a major trading partner.

"In 2017, Georgia's exports to China totaled $2.8 billion. China is currently the third-largest export market for Georgia," said Mary Waters, the deputy commissioner of international trade for the Georgia Department of Economic Development. "China is by far our No 1 trading partner and we are looking for growing our exports to China, as well.

"Georgia is a very strong agriculture state, and actually China is our second (largest) agriculture export market, so again, very important partnership there. We are a national leader in the export of peanuts; we also grow and export a lot of pecans to China every year," Waters added.

According to US Pecan Growers Council, the total value of US pecan exports to the Chinese mainland grew by 72.9 percent to $24.1 million in 2016. And Georgia is one of the top three states that grow pecans.

"China's import duty on US pecans had long been set at 24 percent, but since 2015, China agreed to reduce the tariffs twice - and now the rate is only 7 percent," said Matthew Bailey, a pecan grower in Georgia.

In response to US tariffs on imported steel and aluminum, China announced on March 23 its own list of American products it would tax.

China's action came on the same day that US President Donald Trump announced that up to $60 billion worth of Chinese imports could face tariffs.

"We have reaffirmed many times that the Chinese side doesn't want a trade war. Meanwhile, we also have reiterated time and again that if China is dragged into a trade war, China has the ability and confidence to safeguard its own interests. We hope the US decision-makers pay close attention to the rising voices from the US consumers and related industries, carefully balance the gains and losses from its unilateralism practices, and come back to the right course in time to avoid further collisions," said Lu Kang, a foreign ministry spokesman, in Beijing on Friday.

Georgia's manufacturing industry accounts for about $56 billion in production and 385,700 jobs, according to the Center for Manufacturing Research in Georgia.

Zhuang Qiange in Beijing contributed to the story.

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