China Revives U.S. Soybean Trade Amid Truce: A 12 Million Ton Milestone

China has purchased 12 million metric tons of U.S. soybeans as part of a trade truce agreement, fulfilling a U.S. pledge. State stockpiler Sinograin and trader COFCO were key buyers, favoring U.S. beans due to the trade truce. Further purchases hinge on competitive pricing with South American supplies.

China has successfully purchased 12 million metric tons of U.S. soybeans, fulfilling a U.S. commitment by the end of February, according to three traders who spoke to Reuters. This move comes after a trade truce agreed upon in late October, which spurred renewed buying of American soybeans.

During the trade war, China avoided North American supplies, dropping U.S. market share from 21% in 2024 to 15% last year. The recent bulk purchases by Sinograin and state trader COFCO have met the 12-million ton target, as private crushers continue to prefer cheaper Argentine and Brazilian options.

China resumed purchases after a summit between the two nations' leaders, with the White House announcing an agreement for China to buy 25 million metric tons annually starting in 2026. However, further purchases are contingent on U.S. prices being competitive with those from South America.

(With inputs from agencies.)