Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

China January soybean imports from U.S. nearly double vs. December: customs

Published 02/25/2019, 07:44 AM
© Reuters. FILE PHOTO: Farmer Lucas Richard of LFR Grain harvests a crop of soybeans at a farm in Hickory

BEIJING (Reuters) - China's imports of U.S. soybeans nearly doubled in January from the previous month as cargoes booked after a Sino-U.S. trade truce arrived in the world's top oilseed importer, according to Chinese customs data published late on Monday.

China brought in 135,814 tonnes of U.S. soybeans in January, up 95 percent from 69,298 tonnes in December. But the figure was still down 99.7 percent from 5.82 million tonnes a year earlier as Beijing's hefty tariffs on American shipments curbed purchases.

China typically buys from the United States in the last quarter and first couple of months of the year, when the U.S. harvest dominates the market. But Chinese buyers have steered clear of U.S. produce amid the tit-for-tat trade dispute and scooped up Brazilian beans instead.

Chinese imports of the oilseed from America, its second largest supplier, fell sharply last year and ground to a virtual halt in November. Limited buying resumed after the two countries agreed to a truce on Dec. 1.

However, China brought in 4.93 million tonnes of Brazilian soybeans in January, more than doubling last year's 2.07 million tonnes.

Stockpiling means Chinese crushers have sufficient stocks on hand at present, a situation set to continue in coming months, analysts said, as the new Brazilian crop reaches the market.

China crushes soybeans to produce soymeal which is fed to its massive livestock herds but an ongoing African swine fever epidemic in China has also dampened demand for feed.

Top negotiators from Beijing and Washington last week discussed a set of agreements aimed at ending the trade war, including a 10-item list to alleviate trade imbalances, with additional Chinese purchases of U.S. agricultural products.

China committed to buy an additional 10 million tonnes of U.S. soybeans, U.S. Agriculture Secretary Sonny Perdue said on Twitter on Friday.

© Reuters. FILE PHOTO: Farmer Lucas Richard of LFR Grain harvests a crop of soybeans at a farm in Hickory

President Donald Trump said on Sunday he would delay an increase in U.S. tariffs on Chinese goods scheduled for later this week thanks to progress in trade talks.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.