Trump announces trade discussions with China on soybeans

U.S. President Donald Trump said on Wednesday that soybeans would be a key topic of discussion when he meets with Chinese President Xi Jinping in four weeks. He wrote on his Truth Social platform, noting that Chinese importers have stopped buying U.S. soybeans from the fall harvest because of the trade war between Washington and Beijing, which is costing American farmers billions in losses. “Our country’s soybean farmers are suffering because China, for ‘negotiating’ reasons, is not buying,” Trump said. Reuters reported.

Fall is a key marketing season for U.S. soybeans, when farmers harvest their fresh crop. But China, the world’s largest soybean importer, has switched to South American supplies, pushing down U.S. soybean prices. No specific timeline for resuming U.S. soybean purchases was given after a briefing with U.S. Ambassador to China David Perdue, said Sen. John Hoeven, a Republican from North Dakota. “He didn’t say the sales would happen anytime soon. It was more about keeping the pressure on until we get the contracts and supporting our farmers,” Hoeven said.

Trump also reiterated his promise to use tariff revenue to support farmers. He said last month that he had spoken by phone with Xi Jinping and agreed to meet in person in South Korea in late October on the sidelines of the Asia-Pacific Economic Cooperation forum in Gyeongju. Trump also plans to visit China early next year, and Xi is scheduled to visit the United States later.

Efforts by both countries to ease trade tensions have raised expectations that China could shift more of its agricultural purchases to the United States as part of a potential deal with Trump. “They’re buying from South America right now, using that to pressure us in trade talks,” Hoeven said. But history shows that temporary trade restrictions are unlikely to have a long-term impact on the U.S. economy.

In 2020, during Trump’s first term, a trade deal with China was signed that would see China buy tens of billions of dollars in U.S. agricultural products. However, China has not met its promised purchase targets and continues to diversify its food supply. Liu Pengyu, a spokesman for the Chinese Embassy in Washington, said: “The essence of economic and trade cooperation between China and the United States is mutual benefit and win-win. We hope that the United States will work with China to implement the important agreements reached by our leaders.”

Tags: China, soybean, USA