Home > News > Why China is Buying More U.S. Soybeans

China’s increased buying pace for U.S. soybeans is contributing to higher cash and futures prices. But it’s fueling questions among market-watchers, namely how long the buying spree will last and how many soybeans the nation will purchase. Right now, China appears to be covering its domestic consumption needs and not making much of an effort to meet Phase One trade agreement obligations, analysts say. Will new leadership in 2021 change that trend? It’s unlikely; one longtime ag leader says while the U.S. approach to China trade will be different, it’s not likely to stoke much more buying interest beyond the nation simply covering its needs. Moving into the next year, renegotiations on the trade deal are still possible, but the U.S. Dollar index will be the biggest variable influencing any major change in the pace of China’s soybean purchases. See more.

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