The trade war impacts the cranberry industry

In recent years cranberry harvests have increased in the United States, industry professionals have concentrated their marketing efforts on the Chinese market but the trade war has raised custom taxes which now impact the US exports.

 

 

 

In the top 3 cranberry producing countries (Canada, Chile and the United States), cranberry harvests have increased in recent years. In search of new customers, the US cranberry industry has focused its efforts on the Chinese market. Participation in exhibitions and trade shows, as well as various campaigns with the general public to push the profile of the cranberry in China.

 

 

 

For example, sales of dried cranberries to China increased by 1,000% between 2013 and 2018. In 2018 China bought nearly $ 55 million worth of this fruit, making it the largest buyer of dried American cranberries.

 

 

 

But in the year 2018 the US government imposed tariffs on Chinese products worth 50 billion USD. In return, Chinese trade authorities imposed tariffs on US products, including dried cranberries, for which tariffs were increased to 40%.

 

 

 

With this tax rate, Chinese importers have significantly slowed down their purchases. In the first half of 2019, US exports of cranberries to China were 45% lower than in the first half of 2018.

 

 

 

Industry professionals believe that there is a need to explore other markets, such as India where this fruit is little known, to find new markets.