A cargo ship unloads a shipment of soybeans at the Zhoushan Port in East China’s Zhejiang Province, on February 6, 2025. Photo: VCG
The American Soybean Association (ASA) on Tuesday (US time) urged the US government to secure a deal with China that reopens this vital market for US soybeans, stressing that US soybean farmers cannot survive a prolonged trade dispute with their largest customer.
“US soybean farmers are standing at a trade and financial precipice,” ASA President Caleb Ragland, a soybean farmer from Kentucky, said in a letter to the Trump administration, according to the association’s website.
“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. US soybean farmers cannot survive a prolonged trade dispute with our largest customer,” Ragland said.
China has historically imported more than 60 percent of the world’s soybean supplies, with the US once serving as its top source. But retaliatory tariffs now make US soybeans 20 percent more expensive than South American supplies, and China has turned to Brazil, which has expanded production to meet demand, according to the association.
“China has not purchased any US soybeans for the months ahead as we quickly approach harvest. The further into the autumn we get without reaching an agreement with China on soybeans, the worse the impacts will be on US soybean farmers,” Ragland said.
The ASA also released a white paper outlining the financial consequences of losing long-term market share in China. According to the white paper, China is the top buyer of US soybeans by a staggering margin. In MY 2023/24, the US shipped nearly 25 million metric tons (MMT) of soybeans to China while a mere 4.9 MMT of US soybeans were exported to the EU. The second largest buyer of US soybeans can barely buy one-fifth of China’s soybean purchases.
“Every day without an agreement further erodes US farmers’ market share in China,” Ragland said. “We strongly urge the administration to secure a deal that reopens this vital market for US soybeans.”