US promises support to farmers after China refuses to buy soybeans

Bessent: Farm aid package to be announced on Tuesday.

US Treasury Secretary Scott Bessent said on Thursday that the federal government will provide support to American farmers in response to China’s decision to stop purchasing soybeans. He said the official announcement is expected on Tuesday, Reuters reports.

Bessent noted that the majority of American farmers supported President Donald Trump in the 2024 election.
“We’ll have their back,” he said in an interview with CNBC.

Chinese importers have not yet purchased soybeans from the US fall harvest amid the trade war between Washington and Beijing, which has already cost American farmers billions of dollars in losses.

“Unfortunately, the Chinese leadership has chosen to use American farmers, particularly soybean producers, as hostages or pawns in trade negotiations,” Bessent said.

President Trump previously emphasized that soybean supplies would be a key topic during his meeting with Chinese President Xi Jinping in four weeks.

Bessent noted that nearly every recent U.S. trade agreement included purchases of American agricultural products. “We’ll see other countries replace China,” he said. However, despite the efforts of the Trump administration and the soybean industry, no country has yet been able to replace the volumes China typically purchases.

A record harvest is also putting pressure on prices, he added.

Bessent said he met with Trump and Agriculture Secretary Brooke Rollins in the Oval Office on Wednesday to discuss farm support measures.

“You’ll see significant support for farmers on Tuesday. We’ll also work with the Farm Credit Bureau to ensure farmers have everything they need for the next planting season,” he said.

Bessent added that a personal meeting between Trump and Xi will help set the foundation for future trade relations. “I believe that, thanks to President Trump’s leadership and the respect that President Xi has for him, this round, the fifth one, should produce a significant breakthrough,” the Treasury Secretary said.

Tags: China, soybean, USA