Progress was made on key issues in the U.S. China trade negotiations last week leading to another meeting this week in Washington D.C. But will negotiators make the March 1 deadline before tariffs are schedule to be raised? U.S. Soybean Export Council CEO Jim Sutter says he’s skeptical all the details can be worked out by then.
He thinks when a deal is struck with China there will be more purchases of U.S. soybeans included in the agreement. If fact, enough to get China close to their normal export volumes for U.S. soybean exports and bring the annual total near USDA projections.
Sutter says the question long term is whether the relationship with China has been damaged to the point they don’t return as the number one export market for U.S. soybeans. And if that is even favorable for the industry.
Sutter says in the meantime other markets have been stepping up to fill the China void, such as Europe and Mexico, which has kept export pace closer to normal than expected.
