December 26, 2019

 

China's US soybean imports increased in November 

 


Data showed November's United States soybean imports to China surged compared to 2018, as customs cleared tariff-free cargoes, reported Reuters.

 

November's purchases hit 2.56 million tonnes, compared to 1.147 million tonnes of US soybeans purchased in November 2018. This follows China's tariff waivers for some US products.

 

Purchases were lower last year due to high tariffs China imposed on US products, which include soybeans as part of the US-China trade war.

 

Chinese crushers have increased purchases of US soybeans in the past few months as the China implemented tariff-free quotas as a form of goodwill gesture to the US.

 

Chinese crushers also purchased 3.86 million tonnes of Brazilian soybeans in November 2019, lower than the 5.08 million tonnes bought in November 2018. However, it is slightly higher than the 3.793 million tonnes of Brazilian soybeans purchased in October 2018, with purchasers looking to boost stocks ahead of the country's Spring Festival.

 

More US soybeans are usually purchased during the fourth quarter because of the country's autumn harvest.

 

While demand for soybean in China has decreased due to the African swine fever outbreak that has decimated the country's swine herds, the swine herds are steadily recovering as the government has implemented new measures to improve swine production.

 

-      Reuters