China plans 'many deals' with US for soybean if quality, prices align

Beijing's intention to sign deals comes at a time when a Commerce Ministry official highlighted the massive need for soybeans in the country

China has signalled its intent to sign “many deals” with US soybean exporters, provided that the prices remain competitive, days after reaching a bilateral agreement on agricultural trade, South China Morning Post reported.

 

What's happening

 

Beijing is seeking favourable terms, with the volume of future imports depending on the competitiveness of American crops, the South China Morning Post quoted an commerce ministry official as saying.

 

Chen Chao, director general of the Department of American and Oceanian Affairs at the Ministry of Commerce, on Thursday (local time) said, "With the adjusted tariffs, China will encourage companies to import agricultural products from the US in line with market principles."

 

 

He added that, along with the price competitiveness, if the quality is good and supply is sufficient, Chinese companies will reach "deals" with the US exporters and farmers.

 

Why it matters

 

Beijing’s intent to boost agricultural imports comes amid a growing domestic demand for soybeans, which are a key raw material in livestock feed and cooking oil production.

 

Soybeans have long been a flashpoint in US-China trade relations, with both nations exchanging tariffs and restrictions since 2018. However, the recent meeting between US President Donald Trump and his Chinese counterpart Xi Jinping led to renewed cooperation, with Beijing pledging to resume large-scale soybean imports from the US.

 

By the numbers

 

• According to a White House fact sheet released last week, China will buy at least 12 million tonnes of US soybeans between November and December 2025.
• It would also buy 25 million tonnes annually for the next three years.
• Earlier on Wednesday, China announced plans to remove additional tariffs of up to 15 per cent on some US agricultural products starting November 10.
• Beijing has also removed 10 per cent of the additional tariffs imposed earlier on US soybeans.

 

Price competitiveness is a swing factor

 

According to a Reuters report, despite Beijing lifting some tariffs, price competitiveness continues to be a major factor. Citing analysts, the report noted that Brazil is cheaper than the US, with the Chinese buyers preferring Brazilian beans.

 

Brazilian soybeans for December shipment were priced at a premium of $2.25 to $2.30 over the January Chicago contract, compared with $2.40 a bushel that was offered for US beans shipped from the US Gulf Coast.

 

China's US soybean imports down

 

In 2024, China brought nearly 20 per cent of its soybeans from the US, down from 41 per cent in 2016, customs data revealed.

 

In 2025, China largely shunned soybean imports from Washington due to its high tariffs, costing American farmers billions of dollars in lost exports.