China will not resume its imports of Argentine soyoil unless producers improve the quality, according to vice minister of commerce Jiang Yaoping.

On March 29, Chinese authorities notified Argentine ambassador to China Cesar Mayoral that hexane levels of soyoil in 214 Argentine shipments were three times higher than permitted.

Beijing halted imports of Argentine soyoil earlier in a trade rift with the South American country. Chicago soy futures jumped to the highest in three months yesterday on expectations that China would buy more soy to make up the shortfall.

Jiang, who made a two-day visit to Buenos Aires this week, said China may consider "counter-measures" against Argentine products because of its increasing "protectionist" measures.

In the first 90 days of 2010, Argentina launched two probes into alleged dumping of Chinese imports. The country's frequent launch of dumping investigations was deemed by China as "abnormal and discriminatory," according to reports.

While China hasn't set up trade barriers against Argentine products, it will have no alternative other than consider counter-measures under pressure from Argentina's protectionist moves, Jiang added.

China's ban on Argentine soyoil is more about the country's strategy of lowering oil imports and increasing crushing than quality controls, according to Argentina's agricultural secretary Lorenzo Basso.

"We must start thinking that China will start going toward more industrialisation of soy," said Basso. "The country has built a lot of crushing plants and refineries in recent years. They will never self-supply themselves with soy, but will try to buy beans to crush," Basso added.