US-China Trade War: Tariffs on lobsters deal potential blow to crucial Maine industry

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Many regions in the US have been suffering from the trade war between Washington and Beijing. The American state of Maine, and its 1.5-billion-dollar lobster industry, is certainly one which has been feeling the pinch of late, as our reporter Frances Kuo in Washington D.C. explains.

The pride of Maine, on display along its kilometers of postcard, perfect coastline. But this is the State's real bread and butter.

CAPT BILL LINNELL LOBSTER VENDOR AND FISHERMAN "My lobster's so sweet, you could put it in your coffee!"

Captain Bill Linnell runs "CAP'N BILL'S LOBSTER" in the heart of Portland, the largest city in Maine. Lobster is in his blood.

CAPT BILL LINNELL LOBSTER VENDOR AND FISHERMAN "I've been making lobster rolls for about 50 years."

Linnell is part of the State's Mammoth Lobster Industry, estimated at more than one and a half billion dollars.

MATT JACOBSON, EXEC DIRECTOR MAINE LOBSTER MARKETING COLLABORATIVE "We've been doing this since the 1600s, so it's very very much a part of Maine and who we are."

But now that China has imposed a 25 percent retaliatory tariff on U.S. lobsters, during peak season no less. There's plenty of concern.

MICHAEL MARCEAU, VP S.M. FISHERIES, LOBSTER COMPANY "That's a hand grenade in our business, when something happens that quickly, that devastating."

Michael Marceau runs "The Lobster Company", a wholesale distributor that weighs, packs, and ships lobsters n the U.S. and abroad. Marceau worries that tariffs may force him to downsize.

MICHAEL MARCEAU, VP S.M. FISHERIES, LOBSTER COMPANY "Most of our employees have been with us a long time, we don't want to see them go anywhere."

FRANCES KUO CGTN PORTLAND "So just how much live lobster actually comes through here. Well, try over two million kilograms a year. About half of that is shipped to China."

MICHAEL MARCEAU, VP S.M. FISHERIES, LOBSTER COMPANY "We do Shanghai, Shenzhen, Beijing, Hong Kong 12 years ago, we imported three or four hundred thousand pounds a year, now they take six or seven million."

MATT JACOBSON, EXEC DIRECTOR MAINE LOBSTER MARKETING COLLABORATIVE "Five years ago, we didn't do anything in China, and last year, we did about 15-20 million pounds."

Matt Jacobson is Executive Director of the Maine Lobster Marketing Collaborative. He believes Maine lobsters are popular in China because they're so fresh, plucked out of the cold, clean waters with strict standards on sustainability.

MATT JACOBSON, EXEC DIRECTOR MAINE LOBSTER MARKETING COLLABORATIVE "China especially likes that story, cuz they've had so much issues with food security."

CAPT DAVE LALIBERTE LOBSTER FISHERMAN "And we got a lobster in there, nice!"

Captain Dave Laliberte is one of Maine's 48-hundred commercial lobsterman.

CAPT DAVE LALIBERTE LOBSTER FISHERMAN "I like the unknown of what's going to be in the trap."

Now with the tariffs, he has to navigate more troubled waters.

CAPT DAVE LALIBERTE LOBSTER FISHERMAN "I think without a doubt, it creates uncertainty. We've already got to be worried about the price of bait, the price of fuel, what your catch will be worth when you get to the dock."

But those in the lobster industry are known for their resilience.

CAPT DAVE LALIBERTE LOBSTER FISHERMAN "It's a hearty bunch."

And for now, all they can do is ride it out and hope what's put Maine firmly on the map will still have them hooked.

CAPT DAVE LALIBERTE LOBSTER FISHERMAN "When somebody's eating a lobster, that's a treat, that's something special."

FRANCES KUO, CGTN, PORTLAND, MAINE.