By Ryan Hanrahan
Reuters’ Naveen Thukral and Ella Cao reported that “China has begun modest purchases of U.S. farm products after the leaders of both countries met last week, but traders still await significant soybean buys after the White House said Beijing pledged to buy 12 million tons by year-end.”
“The top market for U.S. farmers, China has turned its vast appetite for crops into a powerful trade war bargaining chip, largely avoiding U.S. wheat and soybeans in favour of other supplies, after rounds of tit-for-tat tariffs,” Thukral and Cao reported. “Chinese buyers have booked two cargoes of U.S. wheat, the first such purchases since October last year, two traders said on Thursday, while a sorghum shipment has been sent from the United States to China, a U.S. industry official said.”
“The deals to import U.S. agricultural goods come as Beijing confirmed on Wednesday that it suspended retaliatory tariffs on U.S. imports, including duties on farm goods, although shipments of U.S. soybeans still face a 13% tariff,” Thukral and Cao reported.
Thukral reported that “China has purchased two cargoes of U.S. wheat totalling around 120,000 tons for December shipment following last week’s meeting between the two countries’ leaders, two traders told Reuters on Thursday. The purchases include one cargo of U.S. soft white wheat and one of spring wheat, the sources said.”
Source : illinois.edu