INSUBCONTINENT EXCLUSIVE:
buyers away from American farms and toward Brazilian exporters.The United States once sold more soybeans to China than any other product,
shipping over 27 million tons worth $12.8 billion last year
Chinese buyers now pay a much higher price for US beans, causing a sharp drop in demand.Brazilian producers, meanwhile, have filled the gap
Since 2017, China has increased its annual soybean imports from Brazil by 35%, reaching 72.5 million tons, while reducing imports from the
The US share stands at 28%
Brazilian farmers report that soybean prices have risen by 10% in a month, with a 60-kilogram sack now selling for about $21.Brazil Emerges
The surge in demand has pushed up spot prices and created a premium for Brazilian soybeans over US ones.In March, the premium for Brazilian
soybeans compared to Chicago futures rose by 70%, reaching the highest level since 2022
funded new storage, railways, and port facilities to streamline soybean shipments
Many cannot quickly switch crops or find alternative markets of similar scale
Some hope to develop new export markets in India, Egypt, or Mexico, but these efforts will take years.During the last trade war, a $23
billion US government aid program softened the blow, but it did not fully offset the loss of China as a customer
Brazilian and Chinese officials are now meeting to expand farm trade further and ensure stable supply chains.While Brazil enjoys the current
boost, officials remain wary that any future US-China reconciliation could again shift the market
For now, Brazil stands as the clear winner in a trade war that has reshaped the global soybean business, leaving US farmers struggling to
