China has bought around 1 million metric tons of US soybeans this week, reports Reuters. This comes as the world’s top oilseed buyer steps up purchases ahead of Chinese President Xi Jinping’s visit to Washington later this month.
The purchases take China’s total US soybean buying to nearly half of the 25 million tons the White House said Beijing had committed to annually through 2028.
While China’s purchases of U.S. soybeans could help bolster trade and diplomatic ties with Washington, the buying also coincides with tightening global oilseed supplies amid dwindling inventories in top exporter Brazil.