Farmers Struggle as China Tensions Heighten
SCIUTTO: Welcome back. We're watching the markets now. And right now you see there, the market is down about 160 points, about two-thirds of a percentage point. This is largely on weak economic data. But, of course, the market is also watching the ongoing trade war between the U.S. and China. Still at the top of investor's minds. "The Washington Post" says that Trump has told his advisers that his fight with Beijing is hugely popular and will help him win re-election in 2020. But what do farmers, who are struggling because of this trade war, think of that? Do they agree? Tim Boring is a sixth generation farmer in the great state of Michigan, focusing on corn, soybeans and wheat, three key crops, many for export, too. Tim joins me now. Tim, we appreciate having you on the show this morning.</s>TIM BORING, FARMER: Sure. Yes, thanks for having me.</s>SCIUTTO: So let's -- let's test the president's claim there. He says that he's winning the trade war with China. In your view, is he winning?</s>BORING: It's tough to see how we've had much success to this point. That certainly since -- it seems like it's been nearly a year since we really started a lot of these discussions with China. The grain markets are down 20 percent. And in an already tough farm economy, that's really been a big struggle for not only my farm but a lot of other farms.</s>SCIUTTO: Have you seen -- China, for instance, is a big purchaser of U.S. soybeans. You say the prices are down. So how much of an economic hit is that for you and is it a big enough hit that it threatens your farm?</s>BORING: Well, the concern really is long-term here, too. In the short term, sure, that's a real concern that -- that -- we already had a tight farm economy. Taking 20 percent out of your gross sales like that certainly is a hit. We're in planting season right now and most of the crops that we're putting in the ground right now don't pencil out given the current economy. So not only is it a concern right now, it's a concern moving forward over the next couple years here, too. If we stay within market conditions like that -- this, yes, I mean a lot of farms are really going to be in trouble.</s>SCIUTTO: The solution the president is offering is additional farm aid. He's now discussing an additional $15 billion in aid for farmers. How do you feel about that as a solution to this?</s>BORING: Myself, like most farmers, are going to want free markets to dictate what we're doing. So certainly the payments like this are a short-term kind of stopgap. They hurt -- they help with some of the immediate pain. But the broader concern here is the fact that we're planting crops right now that aren't being sold. Right now already in storage we have 20 percent of the soybeans we would typically need in a normal year for next year. So as we continue to build these stockpiles of crops that aren't being sold, and historically we know when we see major trade disruptions like this, trade partners don't come rushing right back. So the concern is, beyond just this year and what these payments can do in the short term, what do we do for the next couple years here, too, within our broader farm economy?</s>SCIUTTO: Final question for you. If you had a voice in the room there between U.S. and Chinese negotiators and you wanted to get in the ear of the president or his negotiators, what would you ask them to do that would help you?</s>BORING: Really the biggest thing that myself and other farmers are going to want to see is trade certainty in this moving forward. We've built, for a long time, the United States reputation as a reliable trading partner. So I want to make sure that we continue to be a reliable partner and really the premiere partner that others around the world come to as an agricultural supplier. So this idea here that we're digging a hole and celebrating our ability to climb back out of it sure doesn't seem like much of a win from my perspective. Really I want to see that we somehow implement solutions moving forward with the long term approach, a generational approach here for what we're going to do within ag that provides some certainty moving forward.</s>SCIUTTO: Tim Boring, we wish you the best of luck. We know it's tough times here and hope to have you on again.</s>BORING: Thank you very much. Appreciate it.</s>SCIUTTO: Well, the president wants his son-in-law to solve the immigration crisis now, but it may be even harder when some of the president's own party call Jared Kushner's immigration proposal, in their words, underwhelming. And watch as former Congressman Beto O'Rourke joins Dana Bash, my colleague, for a live CNN town hall from Des Moines, Iowa. He'll speak with Iowa voters about his run for the 2020 Democratic presidential nomination. It is Tuesday night, 10:00 Eastern Time, only on CNN.