1 00:00:00,080 --> 00:00:03,880 Speaker 1: Well, Donald Trump promised global tariffs and he did it. 2 00:00:04,400 --> 00:00:06,880 Speaker 1: New Zealand exporters are finally in the firing line. We've 3 00:00:06,880 --> 00:00:09,000 Speaker 1: been hit with a ten percent tariff on all imports 4 00:00:09,039 --> 00:00:12,040 Speaker 1: into the States and across all industries, and the twenty 5 00:00:12,080 --> 00:00:15,120 Speaker 1: percent that the US published to calculate the tariff was 6 00:00:15,200 --> 00:00:18,520 Speaker 1: calculated off trade deficit rather than tariff, So that's what 7 00:00:18,560 --> 00:00:21,239 Speaker 1: we're questioning. So look, we are considered by some to 8 00:00:21,280 --> 00:00:23,960 Speaker 1: be the lucky ones because some countries have been hit 9 00:00:24,040 --> 00:00:26,599 Speaker 1: between twenty to forty nine percent. I'm joined now by 10 00:00:26,640 --> 00:00:30,520 Speaker 1: the chief executive of the Meat Industry Association, So Makada Beaver, 11 00:00:30,680 --> 00:00:35,720 Speaker 1: Good morning to you, sir, Good morning. Oh I'm sorry. 12 00:00:36,240 --> 00:00:39,000 Speaker 1: Are we the lucky ones? Oh? 13 00:00:39,080 --> 00:00:42,400 Speaker 2: Look, I don't know that anyone is lucky in this context. 14 00:00:42,800 --> 00:00:45,479 Speaker 2: It is quite quite a shock, even though it's not 15 00:00:47,240 --> 00:00:52,000 Speaker 2: an unforeseen shock, was forecasted for quite some time, but 16 00:00:52,120 --> 00:00:55,760 Speaker 2: the fact that it has transpired, as you know, as 17 00:00:55,840 --> 00:00:59,600 Speaker 2: quite disappointing. And I don't think anyone can count themselves 18 00:00:59,680 --> 00:01:04,120 Speaker 2: lucky because the impact of tariffs will have a significant 19 00:01:04,360 --> 00:01:06,039 Speaker 2: disruption and global trade. 20 00:01:06,120 --> 00:01:08,240 Speaker 1: What are you more worried about the actual tariffs on 21 00:01:08,280 --> 00:01:11,200 Speaker 1: New Zealand? Products or as you say, the overall effect 22 00:01:11,280 --> 00:01:12,800 Speaker 1: on the entire global trade system. 23 00:01:13,800 --> 00:01:16,640 Speaker 2: Oh, I think both of them are very much interconnected. 24 00:01:16,920 --> 00:01:21,640 Speaker 2: And you know, and our trade we are very globally connected, 25 00:01:21,880 --> 00:01:24,360 Speaker 2: with our exports going to over one hundred and ten 26 00:01:24,920 --> 00:01:29,240 Speaker 2: markets around the world. So when one market is in distress, 27 00:01:30,360 --> 00:01:34,360 Speaker 2: then that has flow on implications for other markets. In 28 00:01:34,360 --> 00:01:38,040 Speaker 2: this case, the US is a key importer and export 29 00:01:38,080 --> 00:01:41,959 Speaker 2: of beef. Therefore, the US announcement is likely to impact 30 00:01:42,000 --> 00:01:47,000 Speaker 2: global beef markets anyway, with a number of other countries 31 00:01:47,440 --> 00:01:49,200 Speaker 2: looking to redirect their products. 32 00:01:49,920 --> 00:01:52,560 Speaker 1: Let's just isolate the effect on you to the United 33 00:01:52,560 --> 00:01:54,640 Speaker 1: States of America and there are tariffs that they will 34 00:01:54,680 --> 00:01:57,080 Speaker 1: be putting on. I mean, how big is our trade 35 00:01:57,080 --> 00:02:01,000 Speaker 1: with America and how will that that will trade be 36 00:02:01,080 --> 00:02:03,160 Speaker 1: affected for US? 37 00:02:03,400 --> 00:02:07,240 Speaker 2: Well, the US currently is our number one beef export market. 38 00:02:08,080 --> 00:02:11,320 Speaker 2: It has billions of dollars worth of trade and it 39 00:02:11,360 --> 00:02:15,400 Speaker 2: has increased over the recent times, partly because there is 40 00:02:15,760 --> 00:02:18,680 Speaker 2: strong demand for a product in the United States and 41 00:02:18,760 --> 00:02:24,040 Speaker 2: also because their domestic domestic production cannot necessarily meet their 42 00:02:24,480 --> 00:02:29,560 Speaker 2: domestics consumption demand. So it is going to impact on US. 43 00:02:29,919 --> 00:02:35,240 Speaker 2: We currently trade under small quota with a very small 44 00:02:35,320 --> 00:02:37,880 Speaker 2: tariff and nuisance tariff is what we call it, just 45 00:02:37,919 --> 00:02:42,040 Speaker 2: a couple of sen sequilo. The ten percent is essentially 46 00:02:42,440 --> 00:02:47,520 Speaker 2: imposing over nine point three percent extra cost on our 47 00:02:47,600 --> 00:02:49,840 Speaker 2: exports and that is going to be significant. 48 00:02:50,000 --> 00:02:52,280 Speaker 1: Would you retaliate or not? Is it just not worth it? 49 00:02:54,040 --> 00:02:58,079 Speaker 2: Well, I think every action has an equal and opposite reaction, 50 00:02:58,200 --> 00:03:02,200 Speaker 2: I guess so, I'm not sure that retaliation is quite 51 00:03:02,240 --> 00:03:05,600 Speaker 2: the right approach. What we do need to do is 52 00:03:05,720 --> 00:03:09,000 Speaker 2: just work within the system as best as we can 53 00:03:09,480 --> 00:03:12,360 Speaker 2: and you know, argue the fact that we are a 54 00:03:12,400 --> 00:03:15,840 Speaker 2: good trader, good trading partner to the United States, our 55 00:03:15,840 --> 00:03:20,520 Speaker 2: products complementary and with the commercial angles to find the 56 00:03:20,520 --> 00:03:22,279 Speaker 2: best way to put our product. 57 00:03:22,000 --> 00:03:24,680 Speaker 1: In very good look. I wish you like going forward. 58 00:03:25,120 --> 00:03:27,519 Speaker 1: That is firm Cauda Peaver, who comes from the Meat 59 00:03:27,520 --> 00:03:28,480 Speaker 1: Industry Association. 60 00:03:29,320 --> 00:03:32,320 Speaker 2: For more from earlier edition with Ryan Bridge, listen live 61 00:03:32,440 --> 00:03:35,440 Speaker 2: to news Talks it be from five am weekdays, or 62 00:03:35,520 --> 00:03:37,400 Speaker 2: follow the podcast on iHeartRadio.