China is set to reduce tariffs on a broad range of U.S. agricultural products, including corn, wheat, meat and dairy, but soybeans have been left out of the tariff-reduction list released after last week's meeting between Chinese President Xi Jinping and U.S. President Donald Trump.
The move is part of a broader package of reciprocal tariff reductions agreed by the two countries. However, the treatment of soybeans remains separate, with U.S. soybean imports continuing to face an additional 10% tariff.
Which U.S. Farm Products Will Get Lower Tariffs?
China's list covers a wide range of agricultural products, including sorghum, vegetable oils and meals, meat, dairy products, corn and wheat.
China's Commerce Ministry said more than 90% of the products covered by the list will be exempt from additional tariffs imposed by either side and will instead be subject to most-favoured-nation tariff rates.
The list does not yet specify when the tariff reductions will take effect.
Why Are Soybeans Being Treated Separately?
Soybeans are one of the most important U.S. agricultural exports to China, but they remain subject to an additional 10% tariff under the latest arrangement.
Chinese state-owned agricultural companies Sinograin and COFCO have already purchased more than 12 million metric tons of U.S. soybeans. Reuters reported that this represents nearly half of the 25 million tonnes the White House has said China committed to purchasing annually through 2028. China has not independently confirmed that specific purchase target.
Market participants have said the additional tariff could make U.S. soybeans less attractive to private Chinese processors, although state-owned buyers are continuing purchases.
U.S.-China Trade Talks Move Beyond Agriculture
The agricultural tariff changes form part of a broader $60 billion package of reciprocal tariff reductions negotiated through the newly established Board of Trade.
The two countries have also agreed to create a trade council. Its first task is expected to include discussions on reciprocal tariff reductions covering $30 billion worth of products, with the stated objective of supporting more stable economic and trade relations.
Trade in agricultural and related products included on China's latest list was worth about $17 billion in 2024, according to Reuters calculations, excluding soybeans. That figure broadly corresponds to the reported purchase commitment cited by the White House.
Implications for Global Agricultural Trade
The decision provides some tariff relief for U.S. agricultural exporters, while the continued tariff on soybeans leaves an important part of the U.S.-China farm trade relationship unresolved.
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The latest tariff list represents another step in the broader U.S.-China trade discussions, but the separate treatment of soybeans indicates that important differences remain.