China flaunts purchasing power with soybean buys ahead of US midterms

US soybean farmers have criticized the omission of their crop from China's tariff-cut list under a new trade mechanism, describing it as a "missed opportunity." Despite Beijing increasing soybean purchases in the lead-up to a recent summit between Chinese President Xi Jinping and US President Donald Trump, soybeans were left out of the tariff-reduced list.

John Bartman, a fifth-generation Illinois soybean farmer, stated that the exclusion was a missed opportunity for American farmers. The American Soybean Association expressed disappointment, noting that China's remaining 10% tariff limits access for private Chinese importers. China-US announced non-sensitive goods covered by tariff reductions and established an agricultural trade working group, covering $30 billion in goods from each side.

However, soybeans were notably absent from the list. China pledged to purchase at least $17 billion worth of US agricultural products annually for the next three years, with China currently buying 12 million metric tonnes in the 2025 season and 25 million metric tonnes for 2026. Despite these commitments, soybeans remain excluded from the tariff-reduced list, leaving US soybeans less competitive compared to South American exports like Brazil's.

Chairmen of the American Soybean Association highlighted that the existing 10% tariff on soybeans makes them "more uncompetitive" than exports from South American markets.