US corn maintains demand despite tariff debate

Despite trade tensions and possible new tariffs, demand for American corn remains high. According to Price Futures Group analyst Jack Scoville, the United States currently offers the most favorable conditions on the world market, which allows it to maintain its export position. The news of a 90-day postponement of new import tariffs was positively received by the market.

According to the latest USDA report, although corn supply remained unchanged, demand indicators increased, which led to a decrease in ending stocks. This became a signal for the market, and corn prices ended trading with an increase last week. Demand is growing especially actively both in the US domestic market and in export directions.

The spring sowing season has started in the US. And although there is a drought in the west of the country, weather conditions have improved in the Midwest. According to Iowa Agriculture Secretary Mike Naig, farmers are actively preparing their fields and the start of this year’s planting season has been successful thanks to warm and dry weather.

The wheat market is also active, with global and U.S. inventories rising, but market trends remain bullish. Weather problems in the Black Sea region and the Great Plains of the United States, including hail in some areas, pose risks to the crop, which is supporting prices.

At the same time, South American countries are showing strong performance, with Brazil estimated to produce up to 170 million tons of corn and Argentina up to 49 million tons. At the same time, China has focused on importing soybeans from this region, while demand for U.S. soybeans remains stable.

Tags: corn, USA