China’s imports of U.S. agricultural products have been on a steady decline, and they are expected to drop further as Beijing prepares retaliatory measures against fresh U.S. tariffs. This decline is a direct result of the ongoing trade tensions between the two economic giants, which began escalating during former U.S. President Donald Trump’s first term.
Trade War Escalation
Trump has threatened to impose an additional 10% duty on Chinese imports, which is set to take effect on Tuesday. This will result in a cumulative 20% tariff on goods from China. In response, Beijing is reportedly planning countermeasures, which may include both tariff and non-tariff restrictions, with U.S. agricultural and food products likely to be the main targets.
Declining Imports
China imported $29.25 billion worth of U.S. agricultural products in 2024, marking a 14% drop from the previous year. This follows a 20% decline in 2023, reflecting the prolonged impact of the trade war. Since 2018, Beijing has imposed tariffs of up to 25% on key U.S. agricultural exports such as soybeans, beef, pork, wheat, corn, and sorghum. These measures were taken in retaliation for U.S. tariffs on Chinese goods imposed during Trump’s presidency.
China’s Shift in Strategy
In response to trade restrictions, China has diversified its agricultural imports by sourcing from alternative markets and increasing domestic production to strengthen food security. Despite these efforts, the U.S. remains China’s largest agricultural trading partner. Many U.S. farm leaders and traders continue to view China as an “irreplaceable” market, though they are also seeking other buyers to mitigate the effects of declining Chinese demand.
Sources By Agencies
