A 50-person trade delegation from Vietnam announced pledges to purchase more than $2 billion in U.S. agricultural goods, comprised of corn, soybeans, DDG’s, wheat, meat and timber, during a recent visit to the Iowa State Capitol.
The signing of five memoranda of understanding (MOUs) is between the Vietnamese feed industry and private Iowa companies totaling $800 million for farm goods, according to Iowa Department of Agriculture and Land Stewardship (IDALS) Secretary Mike Naig.
“This is a clear sign that international buyers continue to see value, reliability, and opportunity in Iowa agriculture,” Naig said. “I’m proud of the work we’re doing to build markets for Iowa’s high quality ag products and to grow our rural economy through global partnerships.”
A Reuters report on the Vietnamese ministry’s announcement said the trip is part of an effort to complete a new trade deal with the U.S. after learning of the 46% reciprocal tariffs as part of President Donald Trump‘s “Liberation Day” event on April 2. Naig said the visit to Iowa was part of a “multi-state trip” for the Vietnamese contingent, which included its minister of agriculture and the environment, Do Duc Duy.
“Vietnam is a strategic trading partner with the U.S. and is a top importer of DDGS [Distillers Dried Grains with Solubles],” said Iowa Corn Promotion Board President Ralph Lents. “This event showcased an increased commitment from Vietnam to purchase more agricultural products and reinforce the strong partnership between our countries. Iowa is the top corn-producing state, and we are happy to serve as host to our important trade partners.” Vietnam is currently the 10th largest U.S. trading partner.
The group also signed agreements in Ohio for additional ag purchases. And they have met with leaders in Washington D.C. and Maryland to continue trade discussions.
EDITOR’S TAKE:
Another bit of very good news for the ag sector. Two billion may not sound like as much as it used to, but most would consider it to be a lot of money. These purchases are on top of what Vietnam is already doing in trade with the U.S. This speaks volumes for their commitment to maintain a strong trading partnership with our country.
Speaking of maintaining a partnership, what is your dealership doing to attract new business from farmers and ranchers for parts and service? Of course, you understand how the parts and service departments contribute significant revenue to your operation. Don’t let it all slip away to the Auto Zone store down the street. What about exploring an annual contract with farmers/ranchers for their parts and service business. Or perhaps you’ve been contemplating a mobile parts/service unit? If so, now would be a good time to make such an investment. Be sure to include your parts and service personnel when thinking of how you can lock in that valued partnership with the farmers and ranchers in your area.
