Amvona

Much fuss was made this week over China’s proposed tariffs on American Chicken.  At first glance, the situation is grave; 50-100% premium on imports of chicken from the US.  However, upon closer examination there are two other important data points to consider:a) the Chinese have a particular interest in parts of the chicken that we typically discard (namely the feet and the wings) and are virtually worthless in the US market and b) Russia announced that they would be allowing exports of chicken from the United States into Russia after a nearly  one year ban.

Published in Finding Alpha

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