Chinese customs data had revealed on Sunday that China’s soybean import in June from its top supplier Brazil had stepped up to a record high, largely due to a growing demand of the oilseed as China’s pig industry appeared to have recovered from the African Swine Fever, while imports from United States dropped sharply amid growing grudges between Washington and Beijing.
On top of that, according to the data from the General Administration of Customs of China, the world’s largest soybean importer had purchase 10.51 million tons of soybean from the South America’s largest economy last month, up about 91 per cent compared to a figure of 5.5 million tons registered at the same time a year earlier, while the June figures had followed a 18.6 per cent rise in soybean imports from Brazil in May on a year-on-year basis.
Chinese soybean inventories soar to record high in June as Sino-US tension prodded traders to sway away from US-borne oilseeds
Apart from that, while China had brought in a record 11.16 million tons of soybean in June as a majority of Chinese traders had made the most out of a low-cost Brazilian soybean, China’s soybean import from United States faltered as much as 56.5 per cent to 267,553 tons in June, compared to a same time a year earlier, while the figures had followed another steep drop of 45.6 per cent in US soybean imports in May on an annualized basis.
Notably, latest data from the Chinese customs came forth at a critical time while the world’s first- and second-largest economy had been engaged in a new round of ruckus which industry analysts suggested had weighed on dramatically over the purchases of US-borne soybeans by the Chinese traders.
Meanwhile, the US President Donald Trump was quoted saying a week earlier that he was not thinking about a Phase Two US-China trade deal, eventually threatening the accords reached under the “Phase One” trade deal, while a Chinese soybean traders’ association was quoted saying that Beijing would require to ramp up its purchase of US-borne soybeans histrionically in order to fulfil the accords of Sino-US “Phase One” trade deal what at this standpoint appeared to be highly unlikely given the extent of bulging Chinese soybean inventories.