Brazil to boost soybean exports to China amid trade war – Abiove

Brazil will increase exports of soybeans to China and soybean meals to its major customers in Europe, the Middle East and Southeast Asia in 2025 amid a trade war between the US and China, the director of industry group Abiove said Thursday.

Brazil’s record soybean harvest of nearly 170 million tons will also boost supplies, said Daniel Amaral, director of economics and regulatory affairs at Abiove.

“Regarding the trade war, it is hoped that Brazil, based on its good relations with its trading partners and being a major food supplier, will be able to make our agribusiness grow even more,” Amaral said.

He said it is difficult to assess the outcome of the trade war now because “the issue of tariffs fluctuates a lot.”

However, Brazil, the world’s largest producer and exporter of soybeans, should be a reliable supplier with this crop and growing production, the Abiove director said.

He added that record soybean processing and harvest in 2025 should also contribute to the sector’s GDP growth this year.

Brazil is expected to increase soybean oil exports due to the Brazilian government’s decision to keep the mandatory biodiesel content at 14%, Amaral said.

He added that the reduction in biodiesel content in the fuel mix means Brazil will import more fossil fuels, as more than 20% of total consumption in 2024 was imported.

Amaral noted that refined domestic oil prices, which caused the government to suspend the increase in biodiesel content this year, are already falling, which will allow the government to revisit plans to use a 15% biodiesel blend.

Tags: China, Brazil, soybean