China increases wheat imports from Australia and Argentina amid falling prices

In December, Australia and Argentina exported approximately 620,000 tonnes of wheat to China, and analysts and traders expect supplies to continue as Chinese buyers take advantage of low global prices, according to The Edge Malaysia.

Australian wheat shipments to China in December were the highest since April 2024, while Argentine wheat shipments were the highest since 1997, according to customs data from both countries.

This surge in imports surprised some traders and indicated that China, the world’s largest importer of agricultural commodities, is increasing its demand for imported wheat after two bumper years that reduced import demand.

December’s shipments were not large enough to boost global wheat prices, but analysts said robust demand from China in the coming months could limit the global supply glut and support the market.

According to Bendigo Bank Agribusiness, at least eight ships departed Australia for China in December, carrying a combined total of approximately 460,000 tonnes of wheat.

According to Argentine ports and the Rosario Grain Exchange, at least three ships departed Argentina for China in December, carrying approximately 160,000 tonnes of wheat.

Shipment data does not reflect all cargoes, so the actual export volume may be somewhat higher.

“We are definitely seeing China buying,” said an Australian trader. “Argentina and Australia will be the main sources of wheat, based on prices.”

Australia and Argentina are finishing their harvest, which has been quite good this year. Australian wheat is currently cheaper than barley, which is in high demand in China for animal feed, and Argentine wheat is even cheaper, three traders said.

“The potential is there,” said Lorena D’Angelo, an independent market analyst in Rosario. “If prices remain at this level, Argentina will be able to continue to do business with China.”

However, traders noted that China is in no rush to purchase.

Shipping data from Argentina and Australia show only one vessel loading wheat in Argentina for delivery to China in January. This could indicate a slowdown in exports this month, although several vessels in each country are scheduled to carry wheat, with the destination still undetermined.

According to Chinese customs data, China imported an average of almost 1 million tonnes of wheat per month from 2020 to June 2024, significantly outperforming other importers. However, since then, shipments have declined to approximately 300,000 tonnes per month, primarily due to milling wheat from Canada. Between December 2024 and February 2025, Australia shipped 240,000 tonnes of wheat to China, while Argentina shipped none.

China now needs imports in part because its record corn harvest contains high levels of toxicity. Chinese corn must be blended with clean grain before it can be fed to animals, according to an Australian trader. He estimates that Australia and Argentina are expected to ship 1 to 2 million tonnes to China in December and January, and up to 5 to 6 million tonnes by mid-year.

Tags: Australia, China, wheat, imports, Argentina