China has bought a large shipment of Brazilian soybeans amid an escalating trade war with the US

Chinese importers bought at least 2.4 million tonnes of soybeans from Brazil this week, booking the shipments to take advantage of a recent drop in Brazilian prices, which had been rising in previous months amid the fallout from escalating Sino-U.S. tensions, Bloomberg. reported.

The shipments are mostly for delivery in May, June and July, and account for about a third of the monthly volume. Chinese buyers were also attracted by higher crushing margins in the domestic market after soybean meal prices rose sharply amid trade war concerns.

Commercial buyers have largely avoided buying U.S. beans in recent months due to trade war risks, but China’s government stockpile has still contracted U.S. shipments to replenish reserves, particularly before Trump took office in January.

However, analysts say Brazilian soybeans could rise in price if tensions between the US and China remain high, and supply shortages could emerge in the fourth quarter, when China typically turns to supplies from the new US crop. That would likely force Chinese crushers to buy more raw materials when prices are down. Although Beijing has diversified its agricultural purchases in recent years — including buying more soybeans from Brazil, now its largest supplier — the crop remains the top US agricultural export to China.

According to OleoScope, the price of soybeans (Daylian) for April delivery was $553.48 per tonne on 04/09/2025, up $7.32 per tonne from the previous value of $546.15 per tonne on 04/08/2025. The price of soybean meal (Daylian) for April delivery was $402.32/t, down $32.95/t from the previous value.

Tags: China, Brazil, soybean