VINCENT, AL (WBRC) - China has hit back against President Donald Trump's tariffs placing $34 billion worth of them on U.S. products, including soybeans.
John Deloach's family has owned farmland in Vincent since 1820. DeLoach knows what he is doing since his farm has been named as the 2018 Distinguished Farm by the Alabama Farmers Federation. Soybeans are a critical part of the farm's success. "Soybean is the major crop to our operation. It is our biggest crop," DeLoach said.
DeLoach's farm is 700 acres, and 500 acres can be used to grow soybeans. DeLoach is a supporter of President Trump and he is not worried right now about China putting additional costs on the sale of soybeans in their country. "It's much like playing the stock market. The market goes up and down. Just a hiccup is not a big deal to us," DeLoach said.
Soybeans are pre-sold each year. The Shelby County extension service says the cost should be around $10.50 a bushel, but prices dropped with talk of tariffs. That cost as of now for a November sale is down to $9.31.
DeLoach isn't worried unless the tariffs continue and the price drops to $8 or below. "We will be okay this year. Unless something drastic happens, we will be OK. If it would persist this year into next crop season, we would know ahead of time and adjust our crop accordingly," DeLoach said.