China strikes with soy | The trade war grows with …

The trade fight between the United States and China continues to intensify and the Asian giant has decided to stop buying soy in the United States. "Chinese state buyers have not been ordered to continue with the supposedly goodwill purchases and we do not think this is happening for lack of a trade agreement between the two. parties, "Beijing officials said in Beijing. China had pledged at the beginning of the year to buy 10 million tons of soybeans in the United States, but operations stopped at nearly 7 million tons. The administration of Donald Trump announced a few days ago the ban on the sale of Huawei Chinese phone products and Beijing's response has been to reduce the supply of ores destined for the United States used for the manufacture of sophisticated communication and defense devices.

The brake on soybean buying in the United States is known at a time when planting oilseeds is complicated by the strong tornadoes and floods that are affecting the American Midwest. The US president announced last week the granting of a $ 16,000 million grant to farmers victims of the trade war. "The federal aid is intended to offset some of the farmers' losses, but some fear that China will retain soy purchases from other countries even after the end of the trade war," the report said. Mississippi Today. . Eighty percent of soybeans grown in Mississippi have been exported to China.

Argentina, with whom it is already negotiating, either by quantity or by a possible rise in international prices due to the struggle of the two major world economies, could benefit from a transfer of Chinese demand.

The Chinese suspension to buy soy follows a series of maneuvers between the two countries. In response to the Chinese brake on mineral supply, the US Department of Defense is currently badyzing the possibility of reducing the country's dependence on Chinese "rare earth" materials (these minerals are so called). China dominates world exports of the 17 minerals known as rare earths, including cerium, lanthanum, lutetium, scandium, terbium, yttrium and ytterbium, many of which are exploited in argentina.