Could U.S. Soybean Exports Still Hold Without China?

Could U.S. Soybean Exports Still Hold Without China?

Following China’s announcement of the proposed 25 percent tariff on U.S. soybeans, the American Soybean Association (ASA) shared its frustration over the escalation of the trade dispute with the largest customer of U.S. soy. “This is no longer a hypothetical, and a 25 percent tariff will have a devastating effect on every soybean farmer in America,” said John Heisdorffer, president of ASA.

“Don’t say that China can’t do this,” said Tom Sleight, president and CEO of the U.S. Grains Council. “They surely can and they’ve proven that they can. They are very creative traders. We’ve seen this happen in feed grains. I’m sure this can potentially happen in protein meal as well.”

John Payne, publisher of “This Week In Grain” says South America could potentially import soybeans from the United States if China does import more from South America. “[China] is poised to buy 100 million metric tons this next marketing year,” said Payne. “If [China] goes with that number, the only way- in my opinion they can get that number out of South America is for South America to import beans from the United States.”

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