PortandTerminal.com, May 31, 2019
China, the world’s largest soybean buyer, has put purchases of American supplies on hold after the trade war between Washington and Beijing escalated
Washington, DC – China has halted its US soy purchases as the trade war between it and the United States escalates. As the world’s largest soybean purchaser, losing Chinese orders will severely hurt American farmers, many of whom are already on their heels as the trade war intensifies.
People familiar with the matter have said that state grain buyers have not received orders to continue with the so-called goodwill buying of American soybeans.
China is also grappling to contain a deadly swine disease outbreak in its hog herd, curbing demand for livestock feed. Soybeans are a key component of the feed. Rabobank estimates about 30% of the nation’s pork supply has been lost.
The Trump administration raised tariffs from 10 percent to 25 percent on $200 billion of imports, a move which China responded to by targeting $60 billion worth of U.S. agricultural exports.
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