Will Soybean Farmers Rejoice Over Potential China Trade Deal?
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Synopsis
In a significant development, US Treasury Secretary Scott Bessent reveals that soybean farmers are poised for good news with a potential trade agreement between the US and China. This deal could avert steep tariffs and restore soybean imports, vital for American agriculture. Learn how these negotiations might shape the future of US-China trade relations.
Key Takeaways
- US-China trade negotiations could lead to a favorable agreement for soybean farmers.
- China has not purchased US soybeans since May, causing concern among farmers.
- A potential deal may avert a 100 percent tariff on Chinese goods.
- The framework for negotiations is seen as beneficial for both nations.
- President Trump is advocating for the resumption of soybean imports from China.
Washington, Oct 27 (NationPress) Soybean farmers are expected to be "incredibly pleased" with the trade agreement that US and Chinese negotiators are working on this weekend, according to US Treasury Secretary Scott Bessent.
In a recent interview with CBS News, Bessent stated on Sunday that both nations have come to a "significant framework" for a deal that could prevent President Donald Trump's threat of an additional 100 percent tariff on Chinese goods.
The soybean farming community has been a primary focus of US agricultural concerns since Trump initiated the trade conflict in April.
China, which was the largest importer of American soybeans (with purchases totaling $12.5 billion last year), has not bought any US soybeans since May, as revealed by data from the US Department of Agriculture published in late September.
US Trade Representative Jamieson Greer emphasized that the Trump administration is "keenly focused on ensuring that China procures our agricultural products."
"China has not fulfilled all their soybean requirements for December and January... and we anticipate that China will have to resume those purchases," Greer noted.
President Trump has consistently stated, prior to his upcoming meeting with Chinese leader Xi Jinping, that he would urge Beijing to recommence US soybean imports.
However, the resurgence of Chinese purchases may not provide immediate relief for US farmers, as Chinese processors have already secured sufficient soybean stocks to meet their needs for the remainder of this year and into next, minimizing the opportunity for new US sales.
Bessent remarked on Sunday that he believes the US has established a framework agreement with China to avoid imposing an additional 100 percent tariff on Chinese imports.
"I believe we've reached a substantial framework for the two leaders who will convene next Thursday... that tariffs will be avoided," Bessent stated on ABC News from Kuala Lumpur, Malaysia, where President Trump has arrived for a week of diplomatic engagements in Asia.
Trump is set to meet with Xi Jinping in South Korea later this week.
Earlier, Li Chenggang, China's International Trade Representative, indicated that the US and China had achieved a "preliminary consensus" on trade matters during discussions in Malaysia, according to Chinese media.
While Bessent did not disclose specifics of the framework, he mentioned on NBC News that he expects the US will receive "some form of deferral" regarding rare-earth export controls.
These minerals have been central to the trade conflicts between these leading global economies.
Bessent expressed that the framework prepares Trump and Xi "for a highly productive meeting," emphasizing, "I believe this will be outstanding for US citizens, for our farmers, and for our nation as a whole."
Point of View
It is crucial to recognize the implications of the US-China trade negotiations. These discussions hold significant potential for the agricultural sector, particularly for soybean farmers who have faced challenges due to tariffs. A successful resolution could not only support farmers but also stabilize broader economic relations between the two nations.
NationPress
27/10/2025
Frequently Asked Questions
What is the impact of the US-China trade deal on soybean farmers?
The potential trade deal could restore soybean imports from China, which have been non-existent since May, significantly benefiting American soybean farmers.
What has US Treasury Secretary Scott Bessent said about the trade negotiations?
Bessent stated that both the US and China have reached a substantial framework for a trade deal, which could avert additional tariffs on imports.
How much did China purchase in soybeans last year?
China purchased approximately $12.5 billion worth of American soybeans last year, making it the largest buyer before the trade war.
When is President Trump scheduled to meet with Xi Jinping?
President Trump is expected to meet with Chinese leader Xi Jinping later this week during his diplomatic tour in Asia.
What are rare-earth export controls?
Rare-earth export controls pertain to regulations surrounding the export of minerals essential for various technologies and have been a point of contention in US-China trade relations.
