China Halts U.S. Soybean and Corn Imports Amid Trade Tensions: Report

In a major shift that could escalate ongoing trade tensions, China has suspended purchases of soybeans and corn from the United States since mid-January, according to a report by Nikkei Asia citing data from the U.S. Department of Agriculture (USDA). Amid the growing uncertainty, Japan is considering stepping up its purchases of U.S. soybeans as part of a new tariff agreement. Japan’s lead negotiator is scheduled to visit Washington from April 30 to May 2 to advance discussions.

The move comes as China, once a major buyer of U.S. agricultural products, turns to other suppliers. In 2024, China imported more than 27 million tonnes of soybeans from the U.S., valued at $12.8 billion, making up about half of U.S. soybean exports. However, that relationship appears to be unraveling as trade disputes intensify.

Nikkei reported that China recently signed contracts for 2.4 million tonnes of Brazilian soybeans earlier this month – a volume equal to roughly one-third of China’s typical monthly soybean consumption. Officials from the Brazilian Soybean Producers Association described the purchase as unusually large, signaling China’s strategic shift away from U.S. agricultural imports. The U.S. soybean exporters are expressing concern over the developments. 

China’s imports from the US
China primarily imports agricultural products from the United States, including soybeans, oilseeds, and grains. Soybean imports – largely used for animal feed – had already suffered during former President Trump’s first term when the two nations engaged in an earlier trade war.

At that time, China began diversifying its import sources, turning to other countries for agricultural supplies. Now, with a newly imposed 125% tariff on all U.S. imports, analysts expect China’s purchases of American commodities like soybeans could drop to near zero. U.S. soybean exports to China now face a total tariff burden of 135%, combining a 10% duty introduced in March with the additional 125% announced this month.

During the first US-China trade conflict, Brazil – the world’s leading soybean exporter – emerged as a major beneficiary, as Chinese imports of Brazilian soybeans surged. Since 2010, Brazil’s soybean exports to China have grown by more than 280%, while U.S. exports have remained largely stagnant.

Strengthening this relationship, Chinese President Xi Jinping visited Brazil on a state trip last November, reinforcing ties between the two nations. In 2024, China accounted for more than 73% of Brazil’s total soybean exports.

A report by CNN says that with Brazilian soybean production forecasted to reach record highs this year, China is expected to further increase its imports from Brazil, as well as from Argentina – the world’s third-largest soybean producer after Brazil and the U.S.

The U.S. agricultural sector lost around $27 billion during the 2018 trade war, with soybeans alone accounting for 71% of the losses, according to the American Soybean Association. Today, many American farmers – particularly those in states that supported Trump in the 2024 election – are still grappling with the economic fallout. Only Illinois, the largest soybean-producing state, and Minnesota, the third-largest, backed former Vice President Kamala Harris in the last election.