New US Department of Agriculture (USDA) data show that China, the world’s largest consumer of soybeans, has yet to purchase any of the crop from American farmers this marketing season. As a result, a sizable share of President Donald Trump’s base is struggling in 2025. This is not the first time the Trump administration has encountered this issue, which raises the question: Why does the president continue to fall for it?
When Trump and Beijing reached Phase One of a trade deal in his first term, China was expected to substantially increase its purchases of soybeans. The coronavirus pandemic happened, and everything was in disarray. However, even as global conditions stabilized, China never lived up to the provisions of the agreement. Now that both sides are engaged in a second trade strife, the Chinese leadership is pivoting its consumption to alternative markets, particularly Argentina.
For the entire US agricultural industry, the USDA projects that exports to China will total $17 billion in 2025, down 30% from the previous year and more than 50% from 2022. Next year, exports are expected to decline to $9 billion, the lowest level since the 2018 trade dispute.
Of course, the mainstream media has pounced on this issue to make the president look bad – and it is working. A photo, taken by The Associated Press, of Bessent checking his phone during the United Nations General Assembly last month, showed a text message from an individual named “BR” on the phone’s screen – presumably Agriculture Secretary Brooke Rollins.
“Just a heads up. I am getting more intel, but this is highly unfortunate. We bailed out Argentina yesterday and in return, the [Argentines] removed their export tariffs on grains, reducing their price to China at a time when we would normally be selling to China,” the message stated. “Soy prices are dropping further because of it. This gives China more leverage on us,” the message continued. “On a plane but, Scott, I can call you when I land.”
As Liberty Nation News recently reported, Bessent announced various measures the Treasury Department could employ to ensure Argentina’s financial markets stabilize. Buenos Aires is preparing to receive $20 billion in support, whether through direct currency purchases or currency swap lines, from the United States ahead of this month’s midterm elections.
China has stated it has done nothing wrong as it attempts to get the best bang for its yuan. The Milei government thanked Bessent for US support. American political pundits? A collective facepalm and the word “Ouch!”
Meanwhile, soybeans could be a topic of discussion when Argentine President Javier Milei meets with Trump at the White House next week for a formal bilateral meeting. For now, the president confirmed on social media that he will bring it up with Chinese leader Xi Jinping when they get together in four weeks.
“The Soybean Farmers of our Country are being hurt because China is, for ‘negotiating’ reasons only, not buying,” Trump said in a social media post. “It’s all going to work out very well.”
Until then, the White House is crafting plans to provide financial support for US soybean farmers. Speaking to CNBC’s Squawk Box on October 2, Bessent confirmed that the current administration will support soybean farmers. “It’s unfortunate that Chinese leadership has decided to use the American farmers, soybean farmers in particular, as a hostage or pawn in the trade negotiations,” Bessent said.
What type of support the government will offer, however, remains to be seen. While no action has been cemented, experts say the White House will likely develop a comprehensive aid package and work with the Farm Credit Bureau to ensure farmers have access to credit and liquidity for the 2026 planting season. Whether Trump can do wonders in his powwow with Xi also remains to be seen. What kind of trade deal will the United States and China eventually reach? Stay tuned to Truth Social!
So far, the good news is that soybean prices have not collapsed. In fact, they have been little changed this year, rising almost 2% to around $10.30 per bushel. However, without the Chinese dragon feasting on US soybeans, the typical American farmer cannot take advantage of any significant or minor jump in prices.