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President Donald Trump is preparing a major aid package to help American soybean farmers struggling under China’s ongoing boycott of US beans, even as he continues efforts to secure a trade deal with Beijing.
US soybean growers, who once relied on China as their biggest customer, fear that time is running out for an agreement that could save this year’s harvest.
Treasury Secretary Scott Bessent said last week that the administration would soon announce “substantial support for our farmers, especially the soybean farmers,” possibly by Tuesday. While details remain unclear, the package is expected to draw from tariff revenues as relief for farmers hit hard by the trade standoff.
“The soybean farmers of our country are being hurt because China is, for ‘negotiating’ reasons only, not buying,” Trump said in a Truth Social post, adding that he would discuss the issue with Chinese President Xi Jinping during their meeting later this month in South Korea.
Soybeans are the top US agricultural export, accounting for about 14 per cent of farm goods shipped abroad. China previously bought about a quarter of all American soybeans, but it has not purchased any for the current harvest season, turning instead to Brazil and Argentina.
Farmers say they are being caught in the middle of a trade war not of their making. “It’s just unfortunate that we’re being used as a bargaining chip,” said Caleb Ragland, president of the American Soybean Association. “Many of us may not survive another year without action.”
With China imposing a 20 per cent tariff on US soybeans in retaliation for Trump’s import taxes on Chinese goods, analysts say the US crop has become uncompetitive. Still, some observers believe a soybean deal could be the “lowest-hanging fruit” for both governments as they seek to stabilize relations.
Meanwhile, frustration among US farmers is growing after China recently bought nearly two million tons of Argentine soybeans following a US-backed support package for Argentina’s economy.
Despite possible federal relief, farmers say they prefer trade over aid. “We’d rather make it with our own two hands than have it handed to us,” said Iowa farmer Robb Ewoldt.
Others, like Ryan Mackenthun of Minnesota, are cutting costs to stay afloat. “It’s definitely time to tighten the belt and stretch what we have to survive,” he said.