Recently, U.S. President Joe Biden announced that he is raising tariffs on some Chinese goods, a decision that is expected to affect about $18 billion worth of imports, bringing new uncertainty to an already challenging grain market.

Organizations such as the American Soybean Association (ASA) have expressed concern that the move could affect U.S. grain exports to China.ASA members, particularly North Dakota soybean growers, have previously voiced concerns to the U.S. House of Representatives Committee on Agriculture. It said that while national security interests are vital, the preservation of economic and trade interests cannot be ignored. Soybean growers need predictability and certainty in the market to ensure they can remain competitive in the Chinese market.

U.S. soybean exports are important in global trade. In the 2022/2023 marketing year, U.S. soybean exports totaled about $32.6 billion. Of these, China is the largest buyer of U.S. soybeans, accounting for more than $18.8 billion in exports, followed by about $3.3 billion from other markets. In fact, about one in three rows of U.S.-grown soybeans ends up in China, underscoring the importance of the Chinese market to the U.S. soybean industry.