President Donald J. Trump announced a landmark economic agreement with Japan that includes an $8 billion commitment to purchase U.S. agricultural goods, delivering a significant boost to American grain producers and processors.
The agricultural purchases, which include corn, soybeans, fertilizer, bioethanol and sustainable aviation fuel, are part of a broader $550 billion investment package from one of America’s most important trading partners.
Industry experts note the agreement will particularly benefit grain handlers and feed manufacturers who have cultivated long-term relationships with Japanese buyers over decades of trade.
U.S. Grains Council President and CEO Ryan LeGrand praised the agreement in a statement.
“The U.S. Grains Council applauds the Trump Administration on this agreement with our second largest trading partner – Japan,” LeGrand said. “In the 2023-24 marketing year, Japan was the second largest importer of U.S. corn; the third largest importer of U.S. sorghum; the fourth largest importer of U.S. barley; and the 9th largest importer of U.S. distillers dried grains with solubles, totaling 14 million metric tons in corn-equivalent exports or $5.95 billion.”
The agreement builds upon a trading relationship that dates back to the 1858 Treaty of Amity and Commerce, which first opened Japanese ports to Western trade. In recent decades, Japan has consistently ranked among the top markets for U.S. grain exports.
“This deal is an embodiment of our countries’ longstanding partnership and includes ethanol and SAF that fits into Japan’s policies of increasing the use of renewable fuels, that include U.S. ethanol,” LeGrand added. “The Council looks forward to nurturing the important trade relationship for many more years to come.”
The agreement comes at a strategic time for U.S. grain exporters, who have faced increased global competition and market volatility in recent years. Industry analysts expect the deal to provide stability and growth opportunities for grain handling facilities and feed manufacturers across the American heartland.
