While China’s resumption of US soybean purchases has brought relief to American farmers – who spent months worried their largest buyer may never return – analysts said they expected the trade of agricultural products to become a regular part of bilateral negotiations in the coming years.
The soybean deal is one of a slew of agreements reached following their first in-person meeting since Trump’s return to the White House in January. Others included bilateral agreements on reducing fentanyl tariffs to 10 per cent; China’s commitment to not impose rare earth controls, based on a one-year agreement; discussions with Nvidia on chip exports to China; the postponement of a US Section 301 investigation; and a visit by Trump to China in April.
“I was extremely honored by the fact that President Xi authorized China to begin the purchase of massive amounts of Soybeans, Sorghum, and other Farm products. Our Farmers will be very happy!” Trump said in a social media post.
China had already started buying some US soybeans from this season’s crop ahead of the meeting on Thursday, according to Scott Gaffner, a board member with the Illinois Soybean Association.
