China Books 10 Argentine Soybean Cargoes After Export Tax Cut

Chinese buyers have secured at least ten shipments of Argentine soybeans following Argentina's temporary removal of grain export taxes, enhancing the competitiveness of Argentine soybeans and allowing traders to build fourth-quarter inventories amid ongoing Sino-U.S. trade tensions. This shift is a significant setback for U.S. farmers, who are losing billions in soybean sales to China during their prime marketing season due to stalled trade talks and the resulting freeze on exports. China, the world's largest soybean importer, has not yet purchased any U.S. soybean shipments from the current autumn harvest, instead increasing reliance on South American suppliers like Argentina and Brazil. The Panamax-sized shipments, each about 65,000 metric tons, are scheduled for November, with prices quoted at a premium over the Chicago Board of Trade November soybean contract. The Argentine government's export tax suspension aims to boost foreign exchange inflows and stabilize the peso, effectively giving soybean farmers higher revenue in local currency. Despite a recent phone call between Chinese President Xi Jinping and U.S. President Donald Trump, no agricultural trade progress was reported, further pressuring U.S. soybean futures near five-year lows.