A granary in Illinois' Iroquois County literally exploded under the pressure of unsold soybeans, spilling the beans everywhere and sending farmers running for cover. This violent collapse is the physical manifestation of a deeper crisis: the total collapse of US soybean exports to China—a catastrophic blow to American agriculture.
US Soybean Oversupply Blows Up Granary. Screenshot from X Video.
The collapse happened after prolonged stockpiling of the new-season soybeans. Local fire departments had already flagged cracks in the structure, but the massive weight of stored beans overwhelmed these warnings. Video footage shows farmers fleeing a torrent of soybeans pouring out like flooding.
Click to Gallery
US Soybean Oversupply Blows Up Granary. Screenshot from X Video.
Soybean granary collapses, beans flooding out. Screenshot from X Video.
Dozens of farmers flee the scene in panic. Screenshot from X Video.
Soybean granary collapses, beans flooding out. Screenshot from X Video.
Midwestern farmers face a crushing dilemma. Despite soybeans being harvested at peak season, the market is stagnant, mainly because exports to the China have dropped by a staggering 100% this year, and global exports fell by 65%. This vanishing market is the result of trade sanctions from the US and retaliatory tariffs from China, which drove the biggest Asian buyer away.
Dozens of farmers flee the scene in panic. Screenshot from X Video.
Farm bankruptcies are skyrocketing. Data from US courts reveal 93 farms filed for bankruptcy in Q2 of this year, the highest in four years. Farms are no longer just vulnerable to market swings—they are collapsing under financial stress. The Illinois granary disaster sharply illustrates this pressure.
Trade War Fallout
President Trump publicly acknowledged in October that farmers are "severely hit" by the trade conflict and pledged to discuss soybean exports with Chinese President Xi Jinping at the APEC summit. He said that China stopped buying soybeans as a negotiation tactic, passing the ultimate cost to American farmers.
Trump. AP File Photo.
The Trump administration's tariff pressure failed spectacularly. Rather than coaxing China into buying more, the US lost its largest soybean customer entirely. China pivoted instantly to Brazil and Argentina, who quickly ramped up supply, leaving American farmers with evaporated market share.
The American Soybean Association has sounded the alarm. This year's soybean exports to China hit zero, while retaliatory tariffs stand at 20%, sealing off US farmers from their biggest market. The emotional toll is immense, with farmers expressing critical frustration.
Trump's promise to subsidize farmers from tariff revenues is a temporary bandaid. The real sickness lies in America’s sneaking decline in the global agricultural supply chain, with political leaders treating farmers as collateral damage for diplomatic chess games.
Declining Leadership
The US once dominated global agriculture, especially soybeans, which China bought as much as 60% of exported volume after joining the WTO. That stable relationship collapsed rapidly, shattering trust along with trade figures.
Today, China gets most of its soybeans from South America. Brazil and Argentina boosted port capacity, improved soybean varieties, and scaled output rapidly. Meanwhile, US farm infrastructure is aging, trade deals are shaky, and over-reliance on fragile diplomatic ties leaves no room for recovery if relations sour.
American farmers are powerless to change foreign policy or global market turmoil. They watch soybeans spoil in full granaries and pile up debt notices from banks, while patriotic talk of "national interest" masks the sheer anxiety and debt burden on the ground.
Deep Throat
** The blog article is the sole responsibility of the author and does not represent the position of our company. **
Trump just rolled out another tariff threat, and this time Iran's trading partners are in his crosshairs. On January 12, the US president announced a blanket 25% tariff on any country "doing business" with Tehran.
The international press immediately fixated on China—Iran's biggest trade partner. Reuters warned this could reignite the US–China trade war and shred the fragile truce both sides hammered out last year. But Chinese scholars aren't buying it. They say Trump lacks the nerve to slap Beijing with new tariffs, because China will hit back hard—and make him regret it.
Anti-government protests erupt in Iran. (AP photo)
The Financial Times reported on January 12 that these tariffs—which took effect immediately—could slam China, India, Turkey, Pakistan, the UAE, Brazil, and Iraq. All of them trade heavily with Iran. Russia sealed a new free trade deal with Iran in 2025, making it another potential target.
CNN pointed out the stakes for Beijing. China trades with both Iran and the US, so if Washington applies these tariffs, Chinese goods entering America could see costs spike. The network recalled that after last year's summit in Busan, South Korea, the Chinese and US presidents agreed to pause portions of their tariff war—a temporary truce.
Iran as Flashpoint, Again
Reuters published a piece on January 13 titled "Trump's Iran Tariff Threat Risks Reopening China Rift." The article traced how Iran became a powder keg in US–China relations during Trump's first term (2017–2021).
Back then, Washington tightened sanctions on Tehran and blacklisted Huawei, accusing the Chinese telecom giant of selling tech to Iran. That led to the arrest of Huawei founder Ren Zhengfei's daughter, Meng Wanzhou, in Canada—triggering a diplomatic crisis and sending bilateral tensions through the roof.
Now Trump's targeting Iran again. If he follows through, total US tariffs on Chinese exports could exceed 70%—way higher than the rates both sides agreed to last October when they dialed down their trade fight.
It's still unclear which countries or entities Trump will actually target. He hasn't named China explicitly. But Reuters noted Trump has a track record of making bombastic statements that could upend US foreign policy—only to back off later.
US–China "truce" forged in Busan last year now at risk if Trump's Iran tariffs target Beijing. (AP file photo)
Beijing Calls Trump's Bluff
Wu Xinbo, Dean of Fudan University's School of International Relations, told Reuters that China sees through Trump's posturing. "China will call (Trump's) bluff. I can assure you that Trump has no guts to impose the extra 25% tariffs on China, and if he does, China will retaliate and he will be punished," said Wu.
Another Chinese scholar pushed back on the narrative that China and Iran are economically intertwined, noting that "China and Iran are not as close as in the public imagination".
China Customs data backs that up. Beijing has dramatically reduced imports from Iran in recent years. Through November last year, China imported just 2.9 billion USD worth of Iranian goods—a far cry from the 21 billion USD peak in 2018, during Trump's first presidency.
Some sources claim China's major oil companies stopped doing business with Iran in 2022. Yet China's purchases from Tehran still run into the billions, thanks to independent refiners handling shipments.
China as Convenient Scapegoat
Wang Jin, a researcher at Beijing's Dialogue Think Tank, told reporters that "China is just an excuse, a kind of disguise for the Trump administration, to impose new pressure (on) Iran."
Chinese Foreign Ministry spokesperson Mao Ning responded to Trump's tariff threat on January 13. She stated that China's position on tariffs is crystal clear: tariff wars produce no winners. Beijing will firmly defend its legitimate rights and interests.
Analysts warn that Trump's renewed attempt to cut Iran off from global trade could heighten worries about the Belt and Road Initiative. Iran serves as a strategic hub for Chinese goods heading to the Middle East.
This tariff gambit has cast doubt on Trump's planned April visit to China. Observers had expected him to seal a comprehensive trade deal with Beijing during that trip.
The Wall Street Journal echoed Reuters' concerns, warning that new tariffs on Iran's trading partners could wreck the US–China trade truce.
But Reuters also cited Xu Tianchen, a senior analyst at the Economist Intelligence Unit, who questioned whether Trump's tariff policy is even enforceable. "Last year he announced tariffs related to 'illicit' Russian oil trade, but their implementation was patchy." Xu said.
He went on stating that "Trump is also the kind of person who likes bullying the weak," Xu said. "He should manage his actions to avoid these tariffs escalating into direct confrontation with China".
