China Commits $17bn To US Farm Imports

China has committed to purchasing at least $17 billion worth of agricultural products from the United States annually between 2026 and 2028, according to a White House fact sheet released on Sunday following recent meetings between U.S. President Donald Trump and Chinese President Xi Jinping.

The agreement forms part of broader efforts by both countries to stabilise trade relations after years of escalating tariff disputes and weakening bilateral commerce between the world’s two largest economies.

According to the White House, the commitment covers agricultural imports over a three-year period and is separate from existing soybean purchase agreements previously announced by China in October 2025.

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The White House stated that the arrangement was reached during discussions between Trump and Xi held last week, although additional details regarding the structure and implementation of the purchase commitments were not immediately disclosed.

The latest agreement comes after a sharp decline in agricultural trade between both countries following successive rounds of retaliatory tariffs imposed during renewed trade disputes.

Data from the U.S. Department of Agriculture showed that U.S. agricultural exports to China fell by 65.7 per cent year-on-year to $8.4 billion in 2025, reflecting the significant impact of trade restrictions and supply diversification efforts by Beijing.

China has steadily reduced its dependence on American agricultural products over recent years, particularly soybeans, which historically represented one of the largest components of bilateral agricultural trade.

According to the White House, China sourced approximately 20 per cent of its soybean imports from the United States in 2024, compared with 41 per cent in 2016 before trade tensions escalated during Trump’s first term in office.

The White House also announced that China would cooperate with U.S. regulators to lift suspensions affecting several American beef facilities and resume poultry imports from U.S. states officially recognised as free from avian influenza outbreaks.

The development is expected to provide fresh market access opportunities for U.S. livestock producers and food exporters seeking to regain lost market share in China.

In addition, both countries agreed to establish new trade and investment coordination platforms, including a U.S.-China Board of Trade and a U.S.-China Board of Investment.

According to the White House, the new bodies are expected to address market access concerns, facilitate commercial engagement and support efforts to expand bilateral trade under what officials described as a reciprocal tariff-reduction framework.

Chinese Foreign Minister Wang Yi had earlier confirmed plans for the new trade and investment boards, stating that the mechanisms would help improve economic cooperation and manage trade-related disputes between both countries.

Officials said the new framework would also support negotiations aimed at reducing barriers affecting agricultural exports, industrial goods and investment flows.

The announcement comes amid broader efforts by Washington and Beijing to stabilise economic ties despite continuing disagreements over tariffs, technology restrictions, Taiwan and geopolitical competition.

Trade tensions between both countries intensified in recent years after successive tariff increases disrupted supply chains, reduced trade volumes and heightened uncertainty across global markets.

Agricultural exports were among the sectors most heavily affected by the trade dispute, with American farmers facing reduced access to Chinese markets while Beijing accelerated efforts to diversify food imports toward suppliers in Brazil, Argentina and other countries.

The agreement also comes as both governments attempt to manage rising inflationary pressures, supply chain disruptions and slowing global economic growth linked to geopolitical conflicts and trade fragmentation.

Investors and commodity traders are expected to monitor implementation of the agreement closely, particularly its impact on global soybean markets, livestock exports and broader agricultural commodity prices.