Courtesy of Mish
A “sugar bomb” will detonate on June 5 unless the US and Mexico can reach an agreement on sugar imports within the next week.
If the US takes action, Mexico has threatened to retaliate. Corn and high fructose corn syrup are likely targets.
Mexico is the key buyer of US corn syrup.
Sweet Deals
Whenever manufacturers or growers cannot compete, they moan about “dumping”.
In a sweet deal for the express benefit of the sugar lobby at a huge expense to everyone else, sugar tariffs forced prices higher in the US than anywhere else in the world.
Absurd Dispute
On March 8, Reuters reported Mexico Cancels Sugar Export Permits to U.S. in Trade Dispute.
