China buys reported US$300 million of American soybeans in second round of post-trade war truce deals
- The purchase, believed to be around 900,000 tonnes, is further evidence mainland is following terms agreed by President Xi Jinping and counterpart Donald Trump
Chinese importers returned to the United States soybean market for their second round of purchases since the two countries agreed to a truce in their trade war, four traders with knowledge of the deals and the US Soybean Export Council said.
The purchases on Tuesday are the latest evidence that China is making good on pledges to buy US agricultural goods as part of the 90-day trade war truce agreed to by US President Donald Trump and Chinese counterpart Xi Jinping on December 1.
The renewed buying lifted benchmark soybean futures prices at the Chicago Board of Trade on Tuesday, although gains were tempered by the slower-than-anticipated pace of purchases by the world’s top soybean importer.
One trader said Chinese state-owned companies bought 15 cargoes, or about 900,000 tonnes, on Tuesday for shipment from January to March, deals that would be worth more than US$300 million.
A spokeswoman for the US Soybean Export Council confirmed the renewed buying, citing trade sources in China, but did not know the amount.