Tariff action could quickly heat up and affect soybeans, economists warn

Soy leaders are keeping a close watch on tariff action out of the White House. China is a major buyer of U.S. soybeans, and economists warn the situation could quickly heat up.

“They dominate the global oil seed market and they import more than the rest of the world combined. And in 2018, when those Section 301 retaliatory tariffs went into place, we saw prices drop overnight by $2.00 a bushel and our market share evaporate. You know, USDA’s Economic Research Service put out a study assessing the economic damages done to us as a result of the trade. It showed $27 billion in losses for U.S. ag, and of that amount, our soybeans accounted for 71%,” said Virginia Houston.

President Trump has given both Canada and Mexico a February 1st start date for tariffs. Some ag leaders have warned the plan could backfire, while others support the move as an effort to boost U.S. trade.

Related Stories
U.S. Department of Health and Human Services Secretary Robert F. Kennedy, Jr. and U.S. Department of Agriculture Secretary Brooke Rollins today released the Dietary Guidelines for Americans, 2025–2030.
Trade uncertainty—especially regarding soybeans—continues to weigh on future outlooks, even as farm finances and land values remain resilient.
Roger McEowen with the Washburn University School of Law joined us to provide legal insight and context on these issues facing agriculture. Today, he discusses pesticide litigation.
Sen. Deb Fischer reintroduces the HAULS Act to update hours-of-service exemptions and definitions affecting livestock and agricultural haulers. She joins us on Market Day Report to share more about her proposed legislation.
New World Screwworm cases in Mexico, including one within 200 miles of the U.S. border, are adding pressure to livestock markets and trade decisions.
According to multiple reports, Sen. Amy Klobuchar is considering a bid for Minnesota governor. If elected, this would open a key seat on the Senate Agriculture Committee.

LATEST STORIES BY THIS AUTHOR:

Renewable Fuels Association President & CEO Geoff Cooper explains their call for reciprocal duties on Chinese ag imports after China failed to meet past promises on ethanol production.
American soybean and corn leaders, along with Canada’s AgriFood sector, testified before the U.S. Trade Representative’s Office in support of the trade pact between the U.S., Mexico, and Canada.
The FAO Food Price Index for November fell by more than 1 percent in November, marking the third straight month of declines.
Texas livestock producers face a heightened biosecurity threat as New World screwworm detections in northern Mexico coincide with FDA approval of the first topical treatment.