Following President Donald Trump’s visit to Beijing, the US administration released an official announcement. Ego essence: China has agreed to annually (until 2028) buy American agricultural products worth at least $17 billion. This will be in addition to the commitments to buy soybeans, made at the end of 2025 as part of easing trade tensions, writes Bloomberg….
Corn futures jumped by 3.8% (maximum intraday growth for six months). Wheat added up to 3% and soybeans also rose at the opening of trading. This is a sharp reversal of last week’s trend, when prices collapsed due to a lack of details on an agricultural deal.
Sunday’s announcement was a strong bullish signal for wheat and corn, as the new $17 billion purchases are likely to spread to other products, notes Joe Davis, director of commodity markets at broker Futures International. In addition, China has opened the market to hundreds of U.S. beef producers. “The White House delivered exactly the headline that market bulls were waiting for back on Friday,” Davis added.
China, the largest buyer of U.S. soybeans, had boycotted purchases for most of 2025. That changed after Trump and Xi Jinping reconciled. Beijing kept its original promise (buying 12 million tons of soybeans), and the U.S. said the PRC agreed to buy at least 25 million tons annually. Last week’s deal builds on these agreements: corn purchases will break a two-year lull, and wheat volumes could rise.
