China to Cut Tariffs on US Farm Goods, but Soybeans Left Off List (2026-09-28)
China will cut tariffs on a range of US farm goods including corn, wheat, meat and dairy, but soybeans remain excluded and still face a 10% levy.
China announced on Monday that it will reduce tariffs on a wide range of American agricultural products, covering corn, wheat, sorghum, meat, dairy, vegetable oils and meals. The move follows last week's summit in Washington between Xi Jinping and Donald Trump, which markets had expected to yield progress on farm trade.
Soybeans, however, were left off the tariff-reduction list issued by the commerce ministry. The crop remains subject to an additional 10% duty, a level traders say private crushers cannot absorb. The exclusion stands out because soybeans are China's single largest agricultural import from the United States.
Analysts suggest the omission is deliberate. Feng Chucheng, founder and partner at Hutong Research, said the political weight of soybean purchases is enormous, which is why Beijing appears to be handling them on a separate track outside the Board of Trade. That arrangement, he added, also gives Beijing leverage to restrain US actions, particularly ahead of the midterm elections.
The two sides have agreed to set up a trade council, whose first task will be to discuss a reciprocal tariff cut on $30 billion worth of products, aimed at keeping economic and trade ties stable.
Chinese state-run agricultural firms Sinograin and COFCO have already bought more than 12 million metric tons of US soybeans — nearly half of the 25 million tons the White House says Beijing committed to purchasing annually through 2028. China has not confirmed any such target.
Trade in the agricultural and related products on Monday's list was worth about $17 billion in 2024, roughly matching China's reported purchase commitment when soybeans are excluded.
A trader based in Asia with an international company that sells soybeans to China said state-run firms will keep buying US soybeans, and the tariff cuts on other goods will help Beijing meet the $17 billion commitment. The trader, who spoke on condition of anonymity, added that US soybeans are not very competitive on price even if tariffs were lowered.