Report outlines U.S. soybean export outlook
(Posted on 04/07/18)
A report from Rabobank released this month summarises the outlook for U.S. soybean exports, which it believes will continue to decline to China if tariffs take effect and remain in place. But the firm found U.S. soybean exports could increase to the European Union (EU).
President Donald Trump announced in June his intent to impose tariffs on $50 billion worth of goods from China and threatened to impose tariffs on $400 billion more. Meanwhile, China is promising to retaliate with its own tariffs, including an additional 25 percent tax on U.S. soybean imports.
“Given the risk of an additional 25 percent duty on U.S. soybeans into China, Chinese buyers have paid higher prices for non-U.S. origin soybeans,” according to a June Rabobank report. “If trade negotiations continue to distort Chinese imports of U.S. soybeans, other countries will benefit from lower U.S. soybean prices, which will be offset by higher South American soybean meal prices. China will also have to pay continued premiums for South American soybeans, pushing other destination markets to an extended U.S. export window, maybe closer to year-round.”
Meanwhile, a Bloomberg report cited more information from Rabobank International, which says the United States is likely to overtake Brazil as the biggest soybean seller to the European Union.
“It’s already happening,” said Pedro Dejneka, partner at Chicago-based MD Commodities, quoted in the article. “While China concentrates its purchases on Brazil, the rest of the world turns to the U.S.”
China is the world’s largest importer of soybeans, and the prospect of fewer shipments from the United States has boosted premiums for the commodity in the Brazilian market, the report explained. China could replace around 4 million metric tons of U.S. soybeans with Brazilian supplies in the fourth quarter if tariffs are implemented, according to Rabobank.
Latest News
Ukraine already sown two million hectares of spring grains
(Posted on 28/04/25)As of April 25, 2025, farmers in all regions of Ukraine have sown 2M hectares (ha) of spring grain and... Read more
Condobolin rail upgrade fast-tracks NSW grain
(Posted on 25/04/25)GrainCorp’s rail site at Condobolin, in the heart of central west New South Wales, Australia,... Read more
Rio Tinto and AMG assess low-carbon aluminium project in India
(Posted on 22/04/25)Rio Tinto and AMG Metals & Materials (AMG M&M), an energy transition solutions provider, have... Read more
BHP record iron ore and copper production demonstrates resilience
(Posted on 22/04/25)BHP has released its Operational Review for the nine months ended 31 March 2025.BHP Chief Executive... Read more
WTO: Trump’s tariffs will shrink global trade
(Posted on 16/04/25)The volume of world merchandise trade is expected to decline by 0.2% in 2025 under current conditions... Read more
$235million syndicated loan agreement to boost UAE trade with Trafigura
(Posted on 15/04/25)In a strategic move to empower UAE exporters and advance the nation’s economic diversification... Read more
Anglo American update on sale of steelmaking coal business to Peabody
(Posted on 15/04/25)Anglo American plc has noted the recent statement issued by Peabody Energy in relation to the definitive... Read more
Rio Tinto’s first Western Australian-made iron ore rail cars
(Posted on 03/04/25)Rio Tinto’s first locally made iron ore rail car has been built in Western Australia, as it steps... Read more
ADM and Mitsubishi form strategic agriculture supply chain alliance
(Posted on 01/04/25)ADM and Mitsubishi Corporation have signed a non-binding memorandum of understanding to form a strategic... Read more
ESL Shipping and SSAB extend cooperation in raw material transports
(Posted on 27/03/25)ESL Shipping and global steel manufacturer SSAB have agreed on a multi-year extension of the agreement... Read more
