US soya bean farmers battered by trade dispute with China

"The United States soya bean harvest is under way, and in rural Maryland, farmer Travis Hutchison cracks open a pod to show that the field is nearly dry enough for reaping. But a decent yield is not enough to secure his income this year, with China once the biggest buyer of US soya bean exports halting orders amid a trade dispute triggered by President Donald Trump's aggressive tariffs."

"Soya bean prices are really depressed because of the trade war, Hutchison told the AFP news agency. I wasn't against the president trying it, because I think we needed better trade deals, added the 54-year-old of Trump's policies. I was hoping it would get resolved sooner. The world's second-biggest economy bought more than half of the $24.5bn US soya bean exports in 2024."

"After Trump slapped tariffs on Chinese products in his second presidency, Beijing's counter-duties on US soya beans have risen to 20 percent. This makes them prohibitively more expensive than exports from South America, where US farmers face growing competition, said the American Soybean Association (ASA). Last month, Argentina suspended its export tax on key crops like soya beans, making them more attractive to Chinese buyers."

The US soya bean harvest is under way, but good yields will not secure farmer incomes because Chinese buyers have halted orders amid an escalating trade dispute. China bought over half of $24.5bn US soya bean exports in 2024, yet exports to China have fallen by more than 50 percent in value this year. Lower demand has driven soya bean prices down about 40 percent from three years ago. Beijing's 20 percent counter-duties make US beans prohibitively expensive compared with South American exports. Argentina lifted export taxes, increasing competition. The US president has threatened further tariffs and offered unspecified tariff-revenue support for farmers.

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