Naig, Iowa’s ag secretary, on China’s slow-moving purchasing of U.S. soybeans: Trust but verify

URBANDALE — Mike Naig, Iowa’s agriculture secretary, on Wednesday said the U.S. must “trust and verify” when it comes to China’s thus-unfulfilled promise to purchase 12 million tons of soybeans.

Naig made the comments Wednesday while speaking to the regular meeting of a suburban Des Moines conservative group and in an interview after.

The White House on Nov. 1 said the U.S. had reached a trade deal in which China agreed to purchase 12 million metric tons of U.S. soybeans during the final two months of the year, and another 25 million tons annually over the next three years.

The announced trade deal was the result of negotiations after China stopped buying U.S. soybeans in response to increased tariffs imposed by President Donald Trump’s administration.

But China has been slow to fulfill the commitment announced by the White House. Even with new Chinese purchases reported this week by Reuters — which followed a phone conversation between Trump and Chinese President Xi Jinping — the country has purchased fewer than 2 million tons of U.S. soybeans since the deal was announced, according to multiple national reports.

Iowa is the nation’s second-largest exporter of soybeans, and, before this year, China was the state’s top export market.

“They’ve made commitments to buy 12 million metric tons, or to at least book those. We’ll get a sense of that pretty quick,” Naig said during an interview following Wednesday’s event.

“Look, this is good news and we should celebrate the fact that we actually do have China to the table making purchase commitments. But it’s always true that then it’s in the enforcement of that,” Naig said. “So (China) should live up to their commitments. The Trump administration, I know, will work to ensure that they do, and bring pressure, or there will be consequences if they don’t.

“So I’m optimistic that (China) will do just as they have committed to do. We just need to trust and verify.”

Naig also addressed the topic during his remarks to the Westside Conservative Club. He said he is often asked whether he believes China will honor its commitment.

“Here’s what I believe about the Chinese, is they’re going to push the envelope every single time,” Naig told the group. “It’s going to take enforcement and that will be the key: trust but verify.”

During his remarks to the group, Naig also spoke about the state’s struggling agricultural economy — production costs are equally concerning as crop prices, Naig said — highlighted his recent trade mission to Vietnam and Indonesia and his agency’s “Choose Iowa” program that highlights food and ag products produced in Iowa, discussed water quality issues and debates, and stressed the importance for Republicans to support their party’s candidates in next year’s midterm elections.

Naig, who was first elected state ag secretary in 2018, is running for a third, four-year term.

Comments: (515) 355-1300, erin.murphy@thegazette.com

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