Washington | Reuters — U.S. soybean farmers urged President Donald Trump in a Tuesday letter to reach a trade deal with China that secures significant soybean purchase agreements, warning of dire long-term economic outcomes if the country continues to shun the U.S. crop.
Why it matters: China’s turn to Brazil soybeans could cost U.S. farmers billions.
China, the world’s largest soybean buyer, is turning to Brazilian cargoes amid trade tensions with the U.S. and ongoing negotiations. The country has not pre-purchased soybeans from the upcoming U.S. harvest, an unusual delay that has worried traders and farmers.
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“Soybean farmers are under extreme financial stress. Prices continue to drop and at the same time our farmers are paying significantly more for inputs and equipment. U.S. soybean farmers cannot survive a prolonged trade dispute with our largest customer,” said the letter sent from the American Soybean Association to Trump on Tuesday.
China’s turn to Brazilian soybeans could cost U.S. farmers billions. China bought 54 per cent of U.S. soybean exports in the 2023-2024 marketing year, worth $13.2 billion (C$18.3 billion), according to the ASA. The country’s soybean imports hit a record July high this year.
Soybean prices jumped after an August 11 post from Trump on Truth Social urging China to quadruple its soybean purchases. However, farmers said they doubted such a large increase was possible.
“The further into the autumn we get without reaching an agreement with China on soybeans, the worse the impacts will be on U.S. soybean farmers,” said the letter.
The White House did not immediately respond to a request for comment.
