Archer-Daniels-Midland sees tariff war changing soy trade pattern for good

Jul 18, 2019 at 09:07 AM CST + 1
President Donald Trump’s trade war will change forever the way top importer China buys its soybeans. That’s according to Archer-Daniels-Midland, one of the world’s largest agricultural commodities trader. The tit-for-tat tariff spat, which already has shrunk purchases of American beans, probably will mean China will try to reduce its dependence on the United States by buying from elsewhere and improving yields of its own production, ADM Chief Financial Officer Ray Young said. “We should not be naive to assume that longer term, China will not want to become more self-reliant on their own supply of agriculture products,” he said at the Kansas Fed Ag Symposium Tuesday. “I think this has been a wake-up call for China in terms of understanding the relationship between the U.S. and China and how they will view food security in the future.”

Jul 18, 2019 at 09:07 AM CST

+ 1

President Donald Trump’s trade war will change forever the way top importer China buys its soybeans. That’s according to Archer-Daniels-Midland, one of the world’s largest agricultural commodities trader. The tit-for-tat tariff spat, which already has shrunk purchases of American beans, probably will mean China will try to reduce its dependence on the United States by buying from elsewhere and improving yields of its own production, ADM Chief Financial Officer Ray Young said. “We should not be naive to assume that longer term, China will not want to become more self-reliant on their own supply of agriculture products,” he said at the Kansas Fed Ag Symposium Tuesday. “I think this has been a wake-up call for China in terms of understanding the relationship between the U.S. and China and how they will view food security in the future.”