August 22, 2023

China's soybean imports from US plummet 62% in July, while Brazil surges 32%

China's soybean imports underwent a significant shift in July, as the nation's soybean imports from the US experienced a sharp decline of 62% compared to the previous year, while soybean shipments from Brazil, China's leading soybean supplier, surged by 32%, Market Screener reported.

The increase in soybean imports from Brazil was due to South American nation’s abundant harvest and lower soybean prices.

According to data released by the General Administration of Customs, China, the world's largest soybean purchaser, brought in 142,129 metric tonnes of soybeans from the US in July. This marks a substantial drop from the 377,192 tonnes imported in the corresponding period last year.

Despite this decrease, the US managed to retain its position as China's second-largest soybean supplier, contributing to 31.9% of China's total soybean imports during the initial seven months of the year. Notably, China's soybean shipments from the US for the January-to-July period witnessed a 13.9% year-on-year increase, reaching a total of 19.85 million tonnes.

Conversely, China's soybean imports from Brazil, its primary source of soybeans, escalated by an impressive 32.4% in July compared to the same month the previous year, with a total of 9.23 million tonnes imported. Chinese buyers capitalised on more affordable prices, propelling this surge.

Over the span of January to July, China's soybean imports from Brazil amounted to 38.9 million metric tonnes, registering a growth of 12.2% compared to the previous year. Brazil's contribution accounted for a substantial 63.5% of China's total soybean imports year to date.

Shifting focus to corn imports, China's corn arrivals from the US observed a 15.2% year-on-year increase in July, totaling 1.74 million metric tonne. Simultaneously, Ukraine, the second-largest corn supplier to China, shipped 1.1 million metric tonne of corn.

Bulgaria emerged as a noteworthy player in China's corn imports, delivering 393,655 metric tonnes in July and securing the position of the third-largest supplier. Brazilian corn, arriving at 115,500 million metric tonnes, ranked fourth in terms of China's corn imports for July. The rise in Brazilian maize exports via southern ports witnessed an astounding 221% surge during the first half of the year, partly attributed to Ukraine's absence from the market.

-      Market Screener