China Resumes Soybean Purchases

One of the biggest casualties of the trade war, and a large support base for the President, is farmers. Soybean farmers have been suffering ever since China had put a 25% tariff on the crop in July. Now, it looks like the Chinese market is opening up their market to American soy with the purchase of over 1.13 million metric tons of soybeans on Wednesday. State owned grain stockpiler, Sinograin was one of the Chinese companies involved with this new purchase.

 The trade comes after Trump and Xi Jinping had agreed to a tariff cease-fire for 90 days, on Dec. 1 at the G20 summit. Historically, China is the main consumer of American Soybeans, but with the tariffs imposed, as retaliation for duties placed on Chinese goods by the United States, the exports had dropped from 21.4 million tons, over a 10 month period in 2017, down to to 8.2 million tons in the same time period.

With the resumption of soy trade, American farmers can breathe a sigh of relief knowing that their product will be able to leave the silos as there is promise China will continue to buy the crop into 2019. This also signals that relations between the United States and China will improve and lead to the reduction of auto tariffs that had been previously stated by Trump in a tweet.

5 Comments
  1. Art Halvarson 8 months ago
    Reply

    Another potential long term victim of this trade war may be US farmers whose soybeans were exported in large amounts. Retaliatory tariffs from China nearly shut down that trade, and analysts now think some of that share loss will be permanent.

    • Karen Braum 8 months ago
      Reply

      Sonny Perdue said on Thursday that he expects the White House to approve a second round of aid payments to U.S. farmers hurt by the trade war, despite the recent Chinese soybean purchase.

  2. Helen Quach 8 months ago
    Reply

    I mean between all the old iPhones that Apple secretly tried to slow down so you’d buy a new one, and all the rotted soybeans from Trump-a-dumps trade war with China, we can just build the wall with those.

  3. Darin Newsom 8 months ago
    Reply

    He’s failing at the tariff war with China. His way of negotiating is the worst. He’d rather name-call than to meet, discuss, and resolve. Unfortunately, China’s winning. Farmers can’t sell their soybeans. Too bad they voted for this failing administration!

    • Paul Alter 8 months ago
      Reply

      Bet all those soybean farmers, laid off auto workers & so many other blue collar workers who have lost their jobs due to trump’s tariffs are digging deep into their empty pockets.

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