China Resumes US Soybean Purchases After Trump-Xi Summit

China has resumed purchases of US soybeans, with state-owned trading companies securing between eight and 10 Panamax cargoes this week, marking the first major deals since Presidents Donald Trump and Xi Jinping met in Washington in September.

Three trade sources told Reuters on Wednesday that the shipments are scheduled to begin in December, signaling renewed Chinese demand for American agricultural products following several weeks of limited buying activity.

The purchases come as traders closely monitor US-China trade relations and China's progress toward its soybean import commitments. Buying activity had slowed partly because of weaker demand during China's week-long National Day holiday earlier in October.

According to one trader, Chinese state buyers agreed to premiums ranging from $3.10 to $3.20 per bushel above the January Chicago Board of Trade soybean futures contract.

Each Panamax vessel typically transports approximately 65,000 metric tons of soybeans, putting the latest purchases at an estimated 520,000 to 650,000 tons.

Despite the renewed buying, uncertainty surrounding US-China tariffs continues to influence agricultural trade. Following the September Trump-Xi summit, both countries announced proposed tariff reductions, but soybeans were excluded from the list.

That decision reduced expectations that Chinese private soybean processors would significantly increase purchases of American supplies in the near term.

Before this week's transactions, China had already purchased approximately 13.7 million metric tons of US soybeans, exceeding half of the 25 million-ton target established by the White House for the 2026/27 marketing year.

Meanwhile, China's state grain stockpiler Sinograin continues to release imported soybean inventories through auctions.

On Tuesday, Sinograin sold 40.5% of the 518,000 metric tons offered at auction, according to figures from agricultural consultancy Mysteel. Market participants anticipate additional auctions in the coming weeks as China manages domestic supplies.

Official customs figures also showed that China's soybean imports reached 11.88 million metric tons in September, representing a 7.7% decline compared with the same period in 2025.

The latest US soybean purchases could provide support for American agricultural exporters, although future demand will likely depend on tariff developments, domestic processing requirements and China's broader import strategy.