China Buys More U.S. Soybeans Ahead of G20 Summit

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Soybeans in hand ( MGN Image )

USDA reports China made a big buy of U.S. soybeans ahead of the G20 Summit over the weekend.  USDA announced the flash sale on Friday.  It said the country purchased 544,000 mt of beans.  That was on top of a sale earlier last week of 145,000 mt that was also possibly purchased by China, although it was listed by USDA as unknown destinations.

Some analysts were wondering if it was China's way of improving relations ahead of the G20 summit of world leaders in Osaka, Japan over the weekend.

The two sides declared a trade truce following the meeting. President Trump tweeted, "I had a great meeting with President Xi of China yesterday, far better than expected".  

President Trump Tweets Following the G20 Summit in Japan

The President went on to say he agreed not to increase tariffs on China while the negotiations continue. He also tweeted that China has agreed that during the negotiation, to "begin purchasing large amounts of agricultural product from our great farmers".

President Trump Tweets Following the G20 Summit in Japan

However, one influential Chinese industry researcher tells Bloomberg the country is unlikely to start buying large amounts of U.S. agriculture anytime soon.