direstraits posted:I love watching the Demmie Henny Pennies rushing around screaming the sky is falling. The TD had an editorial article concerning the $12 billion subsidy for agriculture. No, the crops won't rot in the silos and its only a short term patch to counter the Chinese. China purchases two-thirds of the global soybean market (that sold outside the country the crop is grown in). If, they buy elsewhere, the other customers must purchase elsewhere. I see the EU has already agreed to increase purchase significant amounts.
I'm not sure that the EU was really doing the US a favor; probably it was more a matter of practicality. If China buys Brazilian soybeans which is a finite commodity, then whoever was buying Brazilian soybeans would need to buy the fungible commodity of soybeans from someone else, like the US. I imagine that China loses a little bit in the deal because the shipping costs would increase from shipping a longer distance.