China has stopped approving import permits for soybean oil originating from Argentina and some domestic companies are canceling orders as the spat between the two trading partners grows, Bloomberg reported, citing industry sources. Anonymous officials originally attributed the halt to malfunctioning computer systems but that claim was later rebuffed by another official. The sources said a state-owned company cancelled a 10,000 ton delivery from Argentina while two shipments were redirected to other countries over concerns they would be rejected upon arrival in China. The moves come following Argentina’s launch of an antidumping investigation on Chinese goods such as textiles and steel pipes, precipitating Beijing’s decision to take full control over soybean imports from provincial authorities since the beginning of April. Argentina and China are the world’s biggest producers and consumers of soybean oil, respectively.
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