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BUSINESS Thursday 16 January 2020
A25

U.S. lobster industry hopes new deal renews trade with China

By PATRICK WHITTLE one else." The U.S. lobster
Associated Press industry benefited from
PORTLAND, Maine (AP) — the growth of the Chinese
Members of the American market prior to the trade
lobster industry are hopeful hostilities because fisher-
the thawing of trade rela- men are in the midst of a
tions between the U.S. and multi-year boom in lobster
China will reopen one of hauls. China emerged as a
the biggest markets in the new trade partner in a time
world for the seafood. when lobstermen were
China is one of the biggest catching more of the crus-
export destinations for lob- taceans than ever, and
ster, which are trapped in that served to help buoy
the cold waters of the At- prices for the seafood. Win-
lantic Ocean by American ter is an especially busy
and Canadian fishermen time of year for lobster ex-
and are worth hundreds ports to China because the
of millions of dollars per seafood delicacy is espe-
year. But President Donald cially popular on the Chi-
Trump's trade hostilities with nese New Year, which falls
China resulted in heavy tar- on Jan. 25 this year.
iffs on U.S. lobster exports, U.S. Trade Representa-
and Canada took firm con- tive Robert Lighthizer said
trol of the business over the In this Aug. 24, 2019, file photo, a dealer at Cape Porpoise holds a 3 1/2 pound lobster in Ken- the new agreement "will
last 18 months. nebunkport, Maine. provide lobstermen and
Trump and Chinese of- Associated Press womrn a more level play-
ficials announced a new ers to take back access to American lobster exports to market American exporters ing field" and more stable
trade agreement Wednes- China, a market that had China cratered last year, can get back, said Stepha- access to China.
day that could change all been growing for years, dropping to less than $47 nie Nadeau, owner of The But Mary Lovely, a senior
that. The proposal includes said Annie Tselikis, execu- million through November. Lobster Co., an Arundel, fellow at the Peterson Insti-
purchase agreements that tive director of Maine Lob- The exports were worth Maine, exporter. She said tute for International Eco-
formalize China's commit- ster Dealers' Association. more than $138 million in she has lost half her work- nomics, said it remains to
ment to buy more Ameri- "China presents incredible 2018 through the same force due to the trade fight. be seen just how much the
can goods in some sectors, opportunity for the coast- month. The collapse of the "We can battle for some new pact will benefit U.S.
said Republican Sen. Su- al Maine economy and export market followed of the business back, but seafood.
san Collins. Lobster is high- regaining access to that years of heavy growth some of the business will "One thing we can say is
lighted in the agricultural market is essential for our spurred in part by the ex- be permanently gone," right now it's a serious de-
purchase agreement, the long-term growth," Tselikis panding Chinese middle Nadeau said. "You don't escalation and it's possible
Maine senator added. said, adding that Maine is class. leave somebody as a sup- we'll see some relief in sea-
That clears a path for the biggest lobster state in It remains to be seen just plier for 18 months and food," Lovely said. "And
American lobster export- the U.S. how much of the Chinese have them not find some- that's a good thing."q

Slight gains send Dow Jones Industrial Average above 29,000

By ALEX VEIGA stocks, companies that points, or 0.2%, to 3,289.29.
AP Business Writer rely on consumer spending The index also climbed
The Dow Jones Industrial and the energy sector. to an all-time high on
Average closed above The S&P 500 index rose 6.14 Monday.q
29,000 points for the first
time and the S&P 500 index
hit its second record high in
three days Wednesday.
The milestones came on a
day when the market trad-
ed in a narrow range as in-
vestors weighed the latest
batch of corporate earn-
ings reports and the widely
anticipated signing of an
initial trade deal between In this Jan. 10, 2020, file photo trader Andrew Silverman works on
the U.S. and China. the floor of the New York Stock Exchange.
President Donald Trump Associated Press
and China's chief nego-
tiator, Liu He, signed the chases of U.S. farm prod- manager at Globalt Invest-
"Phase 1" deal before a ucts and other goods. ments.
group of corporate ex- "This was telegraphed well Health care stocks ac-
ecutives and reporters at enough that the market is counted for much of the
the White House. The pact kind of looking through it market's gains. Utilities and
eases some sanctions on and toward the next phase makers of household goods
China. In return, Beijing has and what that means," said also rose. Those gains out-
agreed to step up its pur- Keith Buchanan, portfolio weighed losses in financial