Soybean Struggle: U.S.-China Trade Tensions Jeopardize Exports
U.S. soybean exports could fall by 20% if a trade deal with China isn't reached. Analysts predict a drop in farm gate prices due to competitive pressures from Brazil, which has become a major supplier to China. The U.S.-China trade deal deadline looms with significant implications for American farmers.
The ongoing trade dispute between the United States and China threatens a serious blow to American soybean exports. Agribusiness consultancy AgResource warns that exports could decrease by 20% without a trade resolution.
If negotiations fail, the firm's president, Dan Basse, predicts a decline in U.S. soybean exports to 1.5 billion bushels from 1.865 billion. Farm gate prices are projected to drop significantly.
Despite a temporary truce, Brazil's growing soybean exports pose a major challenge, as they benefit from lower prices and lack the tariffs imposed on U.S. products.
(With inputs from agencies.)
Advertisement
Google News