The U.S. trade war with China has moved deeper into soybeans.
New deals for American crops aren’t happening, according to a Bloomberg report on Thursday. However, existing orders aren’t being canceled.
Earlier this month, President Trump said the U.S. was increasing tariffs from 10% to 25% of the $200 billion of products imported from China. China then countered by announcing higher tariffs on $60 billion worth of American goods.
China buys more soybeans than any other country on Earth, a chunk of it going to feed its hogs, Bloomberg said. The country’s large pork industry has been hurt by an epidemic of African swine fever.
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China purchased an estimated 1.13 million metric tons of soybeans from the U.S. in December during what’s called the 2018-2019 marketing year, which began Sept. 1, the U.S. Department of Agriculture said.
Earlier in December, President Donald Trump and Chinese President Xi Jinping met in Buenos Aires and declared a temporary ceasefire in the trade war.
On Feb. 22, USDA Secretary Sonny Perdue tweeted that “the Chinese committed to buy an additional 10 million metric tons of U.S. soybean.”
China hasn’t taken delivery yet of approximately 7 million tons of soybeans from the U.S. that it said it would buy during the current marketing year, according to Bloomberg.
Follow USA TODAY reporter Zlati Meyer on Twitter: @ZlatiMeyer