The trade war between China and the United States has already led to a reduction in Chinese imports of American soybeans.
On March 4, China announced that it was revoking soybean import licenses from three American suppliers. These are CHS Inc., Louis Dreyfus Co. Grains Merchandising, and EGT.
According to statements from the Chinese side, such measures were taken due to the presence of fungi in imported soybeans.
However, it is possible that the real reason is the actions of US President Donald Trump, who is introducing tariffs on goods from China.
It is assumed that the Chinese restrictions could affect American products worth up to $21 billion.
They will apply to all soybeans that will be delivered to China starting from March 10, but this will not affect products that are already in transit.
It should be noted that agricultural imports to China from the United States were declining even before the new tariffs were introduced.
For example, in 2024, China purchased food from the United States for $29 billion, which is 14% less than the year before. The reason is that China is trying to increase its own food security, and therefore is actively developing its own production.
In addition, it is diversifying its suppliers of agricultural products. The United States, which have long been one of the top suppliers, are losing their positions.
However, China remains one of the most important sales markets for the United States.
For example, in 2024, soybeans worth $11 billion were sent to China, which is about half of the total volume of soybeans that the United States exports.
Business is negative about the introduction of any tariffs and duties.
Experts note that such measures undermine the main principle of international trade — reliability and stability, and in addition, food security may suffer.
For American farmers, a new round of trade war between China and the United States could become a big problem, since a sharp drop in demand from the main buyer in China will cause difficulties in selling products, and, consequently, farmers may reduce the area of crops.
Experts note that in 2018, during the «first round» of the trade war between the United States and China, American agriculture suffered losses of about $ 27 billion, and over 70% of the total volume of these losses fell on soybeans.
By now, farmers have not even fully recovered from the events of those years, and a new wave of tensions could further worsen their situation.
