Jamie Mackay: The Country host on what Donald Trump's tariffs mean for the dairy sector

New Zealand's dairy sector has voiced concerns as the world prepares to accommodate the financial impacts of Donald Trump's tariffs.

Reports show only six percent of NZ-produced dairy goes into the US - but there's still worry among experts.

The Country's Jamie Mackay explains further.

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Episode Transcript

Speaker 1 (00:00):
Now, speaking of off the back of the primary sector,
how are we going to do off the back of
the primary sector if they're in trouble? Are they with
the dairy payout and what's happening around the world with
Donald Trump? Or is that safe and lockdown? Do you think?

Speaker 2 (00:12):
Well, I'm only guessing here. You need to ring up
Miles Hurrell or one of those guys. But I would
imagine this year's dairy payout at ten dollars plus as
more or less locked and loaded. Remember, there is I
guess a down or an upside to Trump's stupidity, and
that might be the exchange rate. But in terms of dairy,
for instance, only six percent of our dairy goes into

(00:34):
the US. Obviously red meat wine would be of far
greater concern. And even at ten percent on nine billion dollars,
that's nine hundred million. Yet I know it's it's not
to be sniffed at, but it's not going to break us.
I think the real issue, and it was good to
hear Steve and Joyce on your show a wee bit earlier, Ryan,
that the real issue is the collateral damage like to

(00:57):
our major trading partners, especially China, our biggest trading partner
partner plus the EU, and then you're looking at the
damage and goodness knows what it is. No one knows
to the world economy, potential recession, higher inflation, interest rates,
Goodness knows where they're going to go. Reserve banks around
the world might have to start lowering interest rates to

(01:19):
stimulate economies. Look, I think we're all just stabbing in
the dark at the moment, but you would have to say,
I guess New Zealand's as well positioned maybe as any
country to get through this. But we're going to watch
with interest how Trump v.

Speaker 1 (01:35):
China goes absolutely and that thing's only heading up. Jamie,
thank you for Then I'll let you get back to
the pub. Enjoy yourself, Jamie McKay, host of the Country
and on hosting duties at the Spates Own House and
Team Tonight.

Speaker 2 (01:48):
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Speaker 1 (01:50):
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