A trade war between the US and China intensifies
Relations between the U.S. and China continue to deteriorate. Yesterday the Administration of U.S. President issued a list of Chinese goods that plans to impose additional import duty equal to 25%. It includes 1,300 positions of Chinese goods produced by different industries, in particular, production engineering and shipbuilding, agricultural machinery, and the like.
This step will be a response to the introduction of China April 2, import duties on 128 items of goods of American manufacture.
But in China, such actions are called "false and such that substantially violate the basic principles of WTO", and decided in the near future to apply the dispute settlement mechanism in the WTO.
soybean Market is still under pressure from a trade war, as the probability of the introduction of China's import duties on U.S. soybeans increases. Now China introduces additional subsidies for their own producers of soybeans and reduces them to corn producers.
the new forecast of experts of Informa evaluation of the soybean production in Brazil increased to 116 mln t and for Argentina was reduced to 39 million tons.
In Chicago may soybean futures traded on level 381 $/t and remain under the pressure of a poor harvest in Argentina, the duty on the part of China and the sowing campaign in the United States.