By: NATHAN STUEDLE
China is stepping up purchases of U.S. soybeans as American farmers move closer to harvest and trade negotiations continue between Washington and Beijing. Traders say Chinese buyers purchased roughly one-million metric tons of U.S. soybeans this week, booking between 14 and 15 cargoes for shipment from Gulf terminals between December and February. USDA separately reported Wednesday another 340-thousand metric tons sold to China, along with 100-thousand tons to undisclosed destinations. The latest purchases reportedly bring China's U.S. soybean buying to nearly half of the 25-million metric tons Beijing committed to purchase annually through 2028.
The timing is important. Soybean supplies are tightening seasonally in Brazil, the world's largest exporter, while the American harvest is approaching and new-crop supplies will soon become available. The purchases also come ahead of an expected meeting between President Trump and Chinese President Xi Jinping later this month. For U.S. soybean growers, China's return to the market provides some welcome demand as combines prepare to roll.