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OABA Member Alert: Call your Member of Congress NOW on 301!
The Ohio AgriBusiness Association, in coordination with the National Grain and Feed Association (NGFA), urges our members to contact your Members of Congress today to voice opposition to a proposal under consideration by the U.S. Trade Representative (USTR). The proposal would impose severe new penalties on shipping with Chinese-built vessels under a Section 301 investigation — a move that would significantly disrupt U.S. agricultural exports, including those from Ohio.
These penalties include potential port fees of up to $1.5 million per Chinese-built ship and requirements to move goods on U.S.-built ships. If enacted, this could increase shipping costs for grains and oilseeds by $0.50 to $1.25 per bushel.
A decision from USTR is imminent — possibly within the week. OABA has already contacted Ohio’s congressional delegation and we strongly encourage our members to do the same and urge them to weigh in with USTR.
Your Message to Congress:
Ask them to contact the U.S. Trade Representative’s office, USDA, White House, and National Security Council and urge them to:
- Reject the proposed Section 301 penalties on Chinese-built vessels, or
- Exclude agriculture — including both bulk and container exports of grains, oilseeds, co- and by-products, and imports of feed ingredients — from the penalties and shipping requirements.
Express support for President Trump’s objective to address national security risks from lack of U.S. shipbuilding, but emphasize that this proposal would severely harm U.S. agricultural exports and could result in permanent loss of markets and global market share.
Key Talking Points:
- About 25% of U.S. grains and 40% of U.S. oilseeds are exported.
- Grain and oilseed exports support 450,000 jobs and reduce the U.S. trade imbalance by $61 billion.
- Nearly 50% of the global bulk fleet was built in China — compared to just 0.2% built in the U.S. — limiting available shipping alternatives for U.S. ag.
- Freight costs could rise $15 to $40 per metric ton, pricing U.S. commodities out of global markets.
- Disruption is already happening: shippers are struggling to book vessels beyond mid-May.
- Some export tenders have already been lost to Latin America and other suppliers and may be difficult to recover.
Other Resources:
- Comments submitted jointly by NGFA, NAEGA and NOPA
- NGFA’s media statement on 301
- NGFA, ag coalition letter on 301
- NGFA’s fact sheet on 301
- NGFA-supported economic study on 301 impacts
For additional questions, contact Max Fisher, NGFA’s Chief Economist and Treasurer, at mfisher@ngfa.org or (913) 449-0140.