# California farmers and Mexican cheese sales, U.S. trade war takes a toll

> Milk and cheese futures on the Chicago Mercantile Exchange fell immediately after reports that Mexico's tariffs on U.S. dairy would leave American cheese and milk surpluses. California cheese sales to Mexico are being hit by the retaliatory duties.

- Date: 2018-07-29 · published 2018-07-29T12:00:00.000Z
- Category: trade · region US · magnitude medium
- Page: https://feedsoft.ai/events/64179-california-farmers-and-mexican-cheese-sales-u-s-trade-war-takes-a-toll
- Commodities: [Milk (Class III)](https://feedsoft.ai/c/MILK.md)

## Why it matters

Lost Mexican export demand builds domestic dairy surpluses, pushing Class III and cheese prices lower and reducing dairy farm margins.

## Read by commodity

- MILK: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| MILK | 2017-03-23 | [Wary of Protectionism, U.S. Agriculture Wages Charm Offensive to Save Mexican Exports – Foreign Policy](https://feedsoft.ai/events/71980-wary-of-protectionism-u-s-agriculture-wages-charm-offensive-to-save-mexican.md) | +0.6% | -3.6% |
| MILK | 2018-08-24 | [Mexican trade tariffs hurting Va. dairymen - Morning Ag Clips](https://feedsoft.ai/events/63688-mexican-trade-tariffs-hurting-va-dairymen-morning-ag-clips.md) | +9.2% | +7.6% |
| MILK | 2018-07-06 | [New Chinese Tariffs Mean Lower Prices For Wisconsin Farmers - WPR](https://feedsoft.ai/events/4970-new-chinese-tariffs-mean-lower-prices-for-wisconsin-farmers-wpr.md) | -0.4% | +3.1% |
| MILK | 2020-01-04 | [US dairy farmers battle extinction Trump trade wars lower milk prices](https://feedsoft.ai/events/4661-us-dairy-farmers-battle-extinction-trump-trade-wars-lower-milk-prices.md) | +0.6% | +0.6% |
| MILK | 2023-02-02 | [US cheese and dairy growth, prices on a downward trend - Food & Agribusiness](https://feedsoft.ai/events/5879-us-cheese-and-dairy-growth-prices-on-a-downward-trend-food-and-agribusiness.md) | -0.5% | -1.1% |

## Sources

- reuters.com: https://www.reuters.com/article/us-usa-trade-dairy-california/california-farmers-and-mexican-cheese-sales-u-s-trade-war-takes-a-toll-idUSKBN1KH2O4/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.