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The following GAIN reports were released on May 28, 2026. _______China’s market for hardwood logs and lumber is undergoing a rapid transformation in response to U.S.-China trade tensions including tariffs and an 8 month ban on the U.S. log imports. These changes disrupted traditional supply chains, prompting a realignment of sourcing and processing strategies. Vietnam has emerged as a key processing hub, reshaping the flow of U.S. logs and lumber into China. Despite these disruptions, demand for high-quality U.S. hardwood remains strong, especially in China’s high-end furniture manufacturing sector. This report details those challenges and opportunities. The Government of Japan amended the Food System Act in April 2026 to promote cost-based price formation in the food supply chain. Aiming to deter below-cost transactions, the amended Act establishes a framework for creating "cost indicators" that provide clear benchmarks for appropriate costs in price negotiations. The first cost indicator was created for rice. Cost indicators are not minimum guaranteed prices, and prices remain subject to negotiation between parties.
On April 17, 2026, Japan's Ministry of Economy, Trade and Industry (METI) proposed default greenhouse gas (GHG) emission values for three additional ethanol sources. Currently, METI has established GHG emission values for U.S. corn and Brazilian sugarcane ethanol. The three new additions are ethanol derived from Brazilian corn, Thai sugarcane, and Thai cassava. Japan’s Agriculture Ministry announced a major transformation of its agricultural support system, shifting from the current paddy field support payment to productivity-based support for both paddy and upland fields starting in 2027. This represents a significant shift in Japan's rice policy, which has historically focused on maintaining paddy fields. The Ministry will extend the new support payment to table rice used for food service and ready-to-eat meals, intending to help domestic rice regain market share lost to imports in recent years.
The following GAIN reports were released on June 1-2, 2026. _______
The outlook for Brazil’s 2026/27 coffee harvest is positive, especially for arabica coffee, driven by optimal weather in major growing regions. The anticipated record crop follows five years of low production. Coffee exports for MY 2026/27 are forecast to surge by 30 percent, supported by the expected bumper harvest. However, exporters remain cautious, holding back on deals amid low stocks and uncertainties around a possible El Niño event, which could affect the end of this harvest and the 2027/28 cycle.
China’s dairy sector continues to adjust under ample domestic milk supply, with production expected to remain broadly stable in 2026 as processors shift milk toward higher-value products such as butter and cheese. Weak retail demand and reduced use of reconstituted milk weigh on whole milk powder consumption, while foodservice and bakery expansion support steady growth in butter and cheese use. Post forecasts imports of WMP and SMP to decline due to weaker demand, while butter imports remain broadly stable and cheese imports increase to meet demand for higher-quality products. Whey demand remains firm, supported by feed and food applications, with China continuing to rely on imports despite short-term fluctuations. On April 17, 2026, Japan's Ministry of Economy, Trade and Industry (METI) proposed default greenhouse gas (GHG) emission values for three additional ethanol sources. Currently, METI has established GHG emission values for U.S. corn and Brazilian sugarcane ethanol. The three new additions are ethanol derived from Brazilian corn, Thai sugarcane, and Thai cassava. [FAS/Tokyo published the original report on May 28, 2026, but subsequently corrected an error in Table 1.]
Mexico’s 2026 tomato production is forecast at 2.6 million metric tons (MMT), a 9 percent decrease from 2025. This is mainly a result of the continued imposition of a 17 percent antidumping duty on U.S. imports of Mexican tomatoes, reduced profit margins for producers, and weather conditions. This reduction in production is expected to contribute to a forecasted 9 percent decrease in tomato exports to 1.8 MMT in 2026. The United States remains Mexico’s top export market for tomatoes, typically importing over 90 percent of Mexico’s exportable supply. The following GAIN reports were released on June 4, 2026. Kenya: FAIRS Country Report Annual This updated report outlines the current legal framework, enforcement procedures, and agency contacts governing Kenya's food and agricultural import regulations. Beginning February 2026, Kenya no longer maintains a contracted pre-export inspection agent within the United States. Consequently, all eligible U.S. agricultural exports must now undergo mandatory destination inspections at Kenya’s ports of entry. Alongside this new inspection mandate, Kenya continues to enforce its long-standing ban on all genetically engineered imports. This report outlines the certificates required by the Government of Kenya for U.S. food and agricultural exports. It complements the information found in the FAIRS Annual Country Report for Kenya. The Kenya Trade Network Agency provides a single online platform for importers and exporters to electronically submit certificates and receive approvals from relevant trade regulatory agencies. For more information, or for an archive of all FAS GAIN reports, please visit gain.fas.usda.gov/. |
USDA Launches TRUMP Mission to Argentina and Ecuador to Expand Market Access for American Farmers
(Washington, D.C., June 2, 2026) – The U.S. Department of Agriculture launched a Trade Reciprocity for U.S. Manufacturers and Producers (TRUMP) Mission to Argentina and Ecuador this week to open new markets and strengthen export opportunities for American farmers, ranchers and producers.
Built on the Reciprocal Trade and Investment agreements signed with Argentina and Ecuador earlier this year, the mission led by USDA’s Under Secretary for Trade and Foreign Agricultural Affairs, Luke J. Lindberg, aims to increase fair access to two of the Western Hemisphere’s fastest-growing markets.
“Our three-point plan has already reduced the agricultural trade deficit by 42%, and now, TRUMP trade missions like this one are turning new market access into true market share,” said Under Secretary Lindberg. “By taking our farm groups straight to the table with willing buyers in Argentina and Ecuador, we’re converting these historic reciprocal agreements into lasting commercial wins for our hardworking farmers, ranchers, and producers back home.”
In 2025 alone, the U.S. exported $166 million in seeds, essential oils, livestock genetics, tree nuts and more to Argentina. The same year, $595 million in agricultural products were exported to Ecuador, including soybean meal, wheat, and other feeds and fodders.
Staff from USDA’s Foreign Agricultural Service will lead industry tours, host business-to-business meetings, and meet with Argentine and Ecuadorian officials to support U.S. trade priorities and American agricultural producers. The delegation includes representatives from:
1. California Almonds – Modesto, Calif.
2. USA Poultry & Egg Export Council – Tucker, Ga.
3. U.S. Grains and Bioproducts Council – Washington, D.C.
4. U.S. Livestock Genetics Export, Inc. – Mount Horeb, Wis.
5. U.S. Meat Export Federation – Denver, Colo.
6. U.S. Soybean Export Council – Chesterfield, Mo.
7. U.S. Wheat Associates – Arlington, Va.
This is USDA’s fourth TRUMP mission of 2026. TRUMP missions provide rapid response to new market opportunities, directly connecting U.S farmers and producers with foreign buyers and governments to negotiate improved access, promote fair trade, and ensure the benefits of overseas trade flow back to the farms, ranches, and rural communities that sustain American agriculture.
For more information on USDA trade missions, visit https://www.fas.usda.gov/topics/trade-missions.
