Demand for U.S. soybeans remains strong, regardless of worries China could target the crop in retaliation over Trump administration tariffs.
China has canceled several shipments of U.S. soybeans in the last month, raising questions over whether the country is taking preemptive action against the U.S. by reducing purchases. But analysts say the reduction is a minor amount and is not that surprising from a seasonal perspective.
The "U.S. accounts for 37 percent of total soybean exports throughout the world. Beyond Brazil, there's really nobody else," said Rich Nelson, director of research at Allendale, an agricultural market research and trading firm.
"Despite the trade concerns, there's really nobody else. You're just simply not going to have a massive decline in U.S. soybean exports," he said.