China is increasing its orders of US soyabeans, according to a Reuters report.
Chinese state stockpiler Sinograin had placed orders for 10 US soyabean shipments in the week of the 6 January report, three traders told Reuters, as the world’s top buyer continued purchases from the USA following a late October trade truce between the two countries.
Totalling around 600,000 tonnes, the cargoes were for shipment between March and May, the traders said, which is the peak shipping season for rival supplier Brazil.
China’s total purchases from the latest US crop were now estimated at 8.5M tonnes to almost 10M tonnes, according to traders and analysts.
This figure represented up to 80% of the 12M tonnes that US Treasury Secretary Scott Bessent said China had pledged to buy by the end of February.
“There were more US cargoes bought by Sinograin and total purchases are very close to 10M tonnes,” one of the traders with direct knowledge of the deals was quoted as saying.
“We think China will buy a couple of million tonnes more to meet the target.”
According to a 6 January report by the US Department of Agriculture (USDA), private sales of soyabeans to China for shipment in the 2025/26 season ending on 31 August totalled 336,000 tonnes, bringing China’s total confirmed purchases since October to almost 6.9M tonnes. In addition, a sizeable share of the approximately 3M tonnes in sales confirmed by the USDA to undisclosed buyers was believed to be to China.
Beijing has increased US soyabean purchases despite domestic over supply driven by record South American arrivals and weak demand, according to the report.
Although US soyabeans are trading at a premium to newly harvested Brazilian soyabeans, the price differential has narrowed due to a strengthening Brazilian currency and a weaker US dollar, according to analysts quoted in the report.
