China — Bigger US Agricultural Purchases Depend on Reciprocal Tariff Reductions
China is tying any increase in purchases of American agricultural products to the implementation of reciprocal tariff reductions, underscoring the continued influence of trade negotiations on agricultural commerce between the world’s two largest economies.
On Thursday, November 5, China’s Commerce Ministry said Beijing remained prepared to increase imports of US agricultural goods, provided both countries follow through on their agreed tariff-reduction arrangement.
Commerce ministry spokesperson Huang Ling said China expects Washington to help create more favorable conditions for agricultural trade. Those efforts include reducing tariffs, easing non-tariff restrictions and expanding market access.
The discussions stem from a September summit in Washington between US President Donald Trump and Chinese President Xi Jinping. During the meeting, the two countries proposed a $60 billion package that included reciprocal tariff reductions. The arrangement also covered approximately $17 billion worth of American agricultural products that China imported in 2024.
However, the proposed agreement has yet to be finalized.
Beijing has repeatedly maintained that additional agricultural purchases must be linked to the implementation of the tariff arrangement. As a result, the timing of increased imports remains dependent on developments in the broader trade negotiations.
In May, the White House announced that China had agreed to purchase $17 billion in American agricultural products annually, beginning in 2026. The target for the current year was expected to be adjusted proportionally.
These purchases were intended to be separate from China’s commitment to buy US soybeans, which was established in October last year.
China appears to be making progress toward its soybean purchasing goal, but imports of other American agricultural goods have remained significantly lower.
A Reuters analysis found that China purchased $7.2 billion in non-soybean agricultural products, including meat and corn, between January and September.
That figure represented the lowest import level for the same period since 2019, when the first US-China trade war was underway.
Questions also remain over when China’s purchasing commitment officially takes effect. The White House has not specified whether the timeline began with its May announcement or will start only after the proposed tariff reductions are finalized.
Meanwhile, the two governments have formed an agricultural working group that is expected to hold a meeting before the end of the year.
The slower purchasing pace has created concerns among American agricultural producers, who are already facing elevated fuel expenses. Traders also told Reuters that lower tariffs would be needed to make purchases on a large scale commercially viable.
The situation highlights the close relationship between agricultural purchasing commitments and ongoing negotiations over tariffs, market access and broader economic ties between Washington and Beijing.
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