The United States is the world’s second largest agricultural trader, behind the European Union. U.S. agricultural exports and imports increased significantly over the last 25 years due to the economic ascension of many emerging economies, as well as the implementation of foreign and domestic policies that expanded U.S. access to foreign markets. Over the same period, the geographic and product composition of U.S. agricultural trade shifted, as rising incomes and growing supply capacity of emerging economies reshaped global supply and demand for agricultural and food products (see publication below).
The Global Landscape of Agricultural Trade, 1995-2014
Composition and Destinations of U.S. Agricultural Exports Have Shifted
With U.S. agricultural output growing faster than domestic demand for many products, U.S. farmers and agricultural firms have been relying on export markets to sustain prices and revenues. As a result, U.S. agricultural exports have grown steadily over the past 25 years—reaching $174 billion in 2023, up from $57.3 billion in 1998.
The product composition of agricultural exports shifted over that 25-year span, reflecting changes in global supply and demand. Most notably, exports of consumer-oriented products—including high-value products (HVP) such as dairy products, meats, fruits, and vegetables—showed strong growth driven by increasing population and income worldwide, as well as a growing diversification of diets (figures 1 and 2).
Destinations for U.S. agricultural exports have also shifted over the last 25 years. The elimination of agricultural trade barriers, as a result of the North American Free Trade Agreement (NAFTA)—superseded by the United States-Mexico-Canada Agreement (USMCA) in July 2020—supported exports (by value) to Canada and Mexico which have more than quadrupled over that time (for more information on U.S. trade with Canada and Mexico, see USMCA). Coinciding with policy developments, rising household incomes and changing trade policies in developing East and Southeast Asia have driven export growth—especially for China, whose share of U.S. agricultural exports more than quadrupled, from 4 percent during 1998–2004 to 15 percent during 2012–23. Meanwhile, there has been a decline in the export share going to Europe and high-income East Asia, particularly Japan (for data on U.S. agricultural destinations (figures 3 and 4), see Foreign Agricultural Trade of the United States).
Share of Exports in U.S. Agricultural and Food Production Has Remained Steady Since 2013
The share of U.S. agricultural and food production sold outside the country indicates the level of these sectors’ dependence on foreign markets, as well as the size of the overall market for U.S. agricultural products. Since 2013, the share of U.S. agricultural and food production (in terms of value) sold in international markets has remained steady at approximately 20 percent. Among the many products that make up U.S. agricultural trade, the USDA, Economic Research Service (ERS) estimates that, on average, 23 percent of the output of nonmanufactured agricultural products and 21 percent of manufactured agricultural products were exported between 2013 and 2022 (figure 5).
U.S. Agricultural Exports Supported More Than 1 Million Full-time Civilian Jobs in 2022
U.S. agricultural exports support output, employment, income, and purchasing power in both the farm and nonfarm sectors. ERS estimates that (in 2022) each dollar of agricultural exports stimulated another $1.09 in business activity. The $197.4 billion of agricultural exports in calendar year 2022 produced an additional $214.6 billion in economic activity, for a total economic output of $412 billion. Every $1 billion of U.S. agricultural exports in 2022 supported approximately 6,338 U.S. jobs throughout the economy. Agricultural exports in 2022 required 1.25 million full-time civilian jobs, which included 773,900 jobs in the nonfarm sector (figure 6).
The Agricultural Trade Multipliers data are available here.
U.S. Agricultural Imports Expanded Steadily, Mostly Driven by Consumer-oriented Products
U.S. agricultural imports also expanded steadily over the past 25 years, largely driven by growing domestic demand for an array of consumer-oriented products. Between 1998 and 2023, total agricultural imports more than quintupled in value, reaching $195 billion in 2023.
Consumer-oriented products have dominated U.S. agricultural imports and have grown faster than total agricultural product imports, increasing on average by nearly 7 percent annually since 1998. Increasing demand for year-round variety in foods has driven imports of horticultural products during the offseason in U.S. production. Horticultural products (including fruits, nuts, vegetables, and beverages) accounted for half of U.S. agricultural imports in 2023. Sugar and tropical products (such as coffee, cocoa, and spices) accounted for approximately 15 percent of imports (figures 7 and 8).
For monthly data updates of U.S. imports by level of processing, see the U.S. Agricultural Trade Update.
Share of Imports in Consumption Has Increased in Recent Years
As the U.S. population has grown and diversified, the volume and variety of food consumed domestically have also increased, driving up imports of a range of agricultural products. Over the past decade, the share of imports in overall food and beverage consumption has trended upward, from 13.5 percent in 2013 to 17.3 percent in 2022. Import shares (based on value) have been higher for manufactured products than for nonmanufactured products, due in part to higher unit prices for manufactured imports. Manufactured products drove the rise in import share of consumption growth between 2008 and 2012. Since 2013, nonmanufactured products (such as fruits and vegetables) have driven increases in the share of imports in food consumption (figure 9).
For the dataset, see Import Share of Consumption (2008-2022).