A soybean sale Wednesday may signify a shift in the tense trade war between the U.S. and China and could spell some relief for the industry around one of Missouri’s top commodities.
China bought 1.5 to 2 million metric tons of soybeans from the U.S. this week, according to the U.S. Soybean Export Council, Bloomberg reports.
It’s the first significant soybean purchase by China, long the top importer of U.S. soybeans, since the countries began imposing a series of escalating tariffs and counter-tariffs.
The order follows the announcement of a 90-day truce struck by President Donald Trump and Chinese President Xi Jinping earlier this month at a G-20 summit in Argentina.
It comes in the midst of a difficult stretch for Missouri soybean growers, who have seen trade war woes exacerbated by the effects of localized drought this year.
Across the Midwest, diminished Chinese demand for soybean has stressed storage capacity, causing some farmers to let their crops rot, and it has led other growers to consider planting different other crops.