China vs. U.S.: Who Is Gaining Ground in Latin American Agriculture?
News
Biologicals & Biotech
Crops
LifeStyle
Weather
Machinery
Livestock
Suscribite
Latam
Argentina | USA | México | Perú | Chile | Colombia
Agrolatam
News: China vs. USA in Latin American Agriculture Markets
Saturday, 3 de octubre de 2026
China Is Gaining Ground in Latin America—and U.S. Agriculture Is Watching
China's growing role in Latin America is reshaping farm trade as soybeans, meat, tariffs, and new ports intensify competition with U.S. agriculture.
Emily Trask
Emily Trask is a U.S.-based journalist covering agricultural trade, policy, and agri-food markets, with a focus on U.S.-Latin America relations and their impact on global agribusiness.
Fuente: AgroLatam.com
Autor: AgroLatam.com
Facebook | Twitter | e-Mail | WhatsApp
On October 3, 2026, new Latinobarómetro data showed that:
- 65% of Latin Americans view China's influence positively, compared with 57% for the United States.
For U.S. agriculture, this gap matters well beyond public opinion. China has become a critical market for Brazil and other Latin American agricultural exporters, increasing competition in soybeans, meat, and other commodities, while new port investments are strengthening trade connections between South America and Asia.
The Shift in Economic Relations:
The shift has developed alongside a much deeper economic relationship. Positive perceptions of China rose from 48% in 2020 to 65% in 2026, while the U.S. measure slipped from 60% to 57%. Merchandise trade between China and Latin America grew from just over $14 billion in 2000 to more than $500 billion in 2024. China has overtaken the United States as South America's largest trading partner, although the U.S. retains a much stronger commercial position in Mexico, Central America, and much of the Caribbean.
Competing in Soybeans:
From Brazil to the Midwest: Soybeans Show How Competition Is Changing
For American farmers, Brazil is at the center of this transformation. Brazilian agribusiness exports reached a record $169.2 billion in 2025, with China purchasing $55.3 billion, or 32.7% of the total. The United States accounted for $11.4 billion. Brazil's 2024/25 grain harvest also reached a record 352.2 million metric tons (MMT), up 17% from the previous season.
That scale means Chinese buying decisions can influence prices, export premiums, and trade flows closely watched by U.S. farmers and grain companies. Soybeans provide perhaps the clearest example.
Tariff Changes and Market Dynamics:
On September 28, China announced tariff reductions covering a broad range of U.S. agricultural products, including corn, wheat, sorghum, vegetable oils, meat, and dairy. Soybeans, however, were excluded and continue to face an additional 10% tariff. This distinction is particularly important for U.S. agriculture because soybeans remain a major export to China and compete directly with supplies from Brazil and Argentina.
Brazil's expanding soybean production and export capacity has strengthened its role as a major supplier to China and a key competitor in global oilseed markets.
Complex Market Dynamics:
However, a tariff advantage for South American soybeans does not automatically translate into stronger sales. Chinese soybean demand has recently been pressured by weak animal-feed consumption, poor crushing margins, and high inventories. At the same time, private Chinese processors have found Brazilian and Argentine soybeans competitively priced compared with U.S. cargoes.
For grain markets, the outcome depends on much more than tariffs: FOB prices, freight rates, oil content, seasonal availability, and domestic crushing economics all shape purchasing decisions.
Newsletter Sign Up
Email: Subscribe