Treasury Secretary Speaks on Soybean Purchase Cuts
Treasury Secretary Scott Bessent, who identifies as “an actual soybean farmer,” expressed his concern over China’s reduction in buying U.S. soybeans. He mentioned that this situation is particularly tough for American farmers.
During an interview on ABC News’ “This Week,” anchor Martha Raddatz pointed out the struggles faced by U.S. farmers. Bessent responded, “Martha, in case you didn’t know, I’m actually a soybean farmer, so I’ve felt this pain too.”
Bessent, a former hedge fund executive with a reported net worth of around $600 million, owns extensive soybean and corn farmland in North Dakota. According to government financial disclosures, the land is valued between $5 million and $25 million and generates an annual rental income ranging from $100,000 to $1 million.
He opined that U.S. soybean sales to China might rebound if a trade agreement is reached. On Monday, President Trump conveyed optimism about securing a deal as he prepares to meet with Chinese leader Xi Jinping in South Korea.
American farmers have criticized Trump following China’s decision to stop purchasing U.S. soybeans, especially since the nation accounted for over half of U.S. soybean imports in 2023 and 2024.
In a related development, the White House announced a $20 billion currency swap with Argentina to support that country and its president, Javier Milley, an ally of Trump. This move has generated frustration among U.S. soybean farmers, who find themselves losing ground to Argentine and Brazilian competitors.
Furthermore, just before the U.S. relief package was revealed, Argentina decreased its export taxes, making its soybeans more appealing. China reportedly secured 7 million tons of soybeans from Argentina, with zero imports from U.S. farmers in September.
Aaron Lehman, president of the Iowa Farmers Union and a soybean grower, expressed disappointment, stating, “At a time when we should be finding ways to help American farmers deal with this chaotic trade policy, it’s very disappointing to see us bailing out Argentina and Argentine farmers in the process.”
Speaking to Raddatz, Bessent indicated that American soybean farmers would likely be pleased with the developments surrounding the China trade agreement. He also noted that the framework might abolish the proposed 100% tariffs on Chinese goods, postpone strict Chinese export controls on rare earth materials, and potentially transfer ownership of TikTok to a U.S. entity.
