SCMP: "Soybeans Serve as Leverage in Times of Deteriorating Relations"
China, the world's largest soybean importer, significantly increased its imports of Brazilian soybeans last month, while sharply reducing its imports of U.S. soybeans. As U.S.-China trade negotiations gain momentum, U.S. soybeans are expected to become one of the key issues in the talks.
According to the Hong Kong-based South China Morning Post (SCMP) on August 20, citing data from China's General Administration of Customs, China imported 420,873 tons of U.S. soybeans in July, down 11.47% from the same month last year. In contrast, imports of Brazilian soybeans during the same period reached 10.39 million tons, an increase of 13.92%.
In July, China imported a total of 11.67 million tons of soybeans, up 18.39% year-on-year, with Brazilian soybeans accounting for 90% of the total. U.S. soybeans made up less than 4%.
From January to July this year, China's total soybean imports reached 61.03 million tons, an increase of 4.63% compared to the same period last year. Of this, about 70% came from Brazil, while the share of U.S. soybeans was just over 25%.
This trend shows that, amid ongoing U.S.-China trade tensions, China is shifting its soybean imports from the U.S. to Brazil. Last year, China imported 105 million tons of soybeans, with U.S. soybeans accounting for 21.1% of the total-a decrease of 13.3 percentage points compared to 2018. In contrast, the share of Brazilian soybeans last year reached 71.1%.
With the extension of the tariff truce, the two countries have entered into full-scale trade negotiations. The U.S. is urging China to increase its soybean imports. On August 11, President Trump stated on the social media platform Truth Social, "I hope China quickly quadruples its soybean orders."
SCMP reported, "Soybeans, one of the U.S.'s major agricultural exports, have served as leverage during periods of deteriorating relations between the two countries."
The U.S. was once China's largest soybean supplier, but after the trade war broke out during the first Trump administration in 2018, China began diversifying its sources. In 2020, after an 18-month trade war, China signed the 'Phase One Trade Agreement,' which included large-scale purchases of U.S. agricultural products such as soybeans.
Earlier this year, China imposed a 10% tariff on U.S. soybeans as a retaliatory measure against U.S. tariffs, making soybeans a renewed point of contention in the negotiations. With the U.S. harvest season approaching, American soybean farmers are pressuring President Trump to secure a trade agreement with China, their largest customer. The American Soybean Association (ASA) sent a letter to President Trump the previous day outlining these demands.
According to a recent Bloomberg report citing U.S. Department of Agriculture data, as of the end of July this year, China had not placed any orders for U.S. soybeans for the 2026 marketing year, which begins in September.
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