There’s been some political back-and-forth between China and the U.S. Traders and farmers alike have been watching to see if China does anything with U.S. soybeans.
U.S. soybean exports have slowed, as demonstrated in the USDA’s latest World Agricultural Supply and Demand Estimates (WASDE) that came out earlier this month.
Andy Shissler of S&W Trading says missing the mark on exports isn’t something farmers are used to.
“We’re kind of used to these huge [export] numbers, and you expect them to grow while demand in China has grown,” he said on AgDay.
Last month, president Trump slapped a 30 percent tariff on imported solar panels and washing machines from China.
Two weeks later, China announced an anti-dumping and anti-subsidy probe into U.S. sorghum. It’s been rumored that soybeans could see a tariff from China. That outcome is unknown at this point, but it could turn “ugly” if it happens.
“For the small group of farmers we have in the United States, it would be terrible for us, and for China, the difference in price wouldn’t be a big deal,” said Shissler.
Hear Shissler’s full thoughts on China on AgDay above.