Delay in tariffs and Trump's call for China to buy more soybeans from the US supported soybean quotes

US President Trump has postponed the introduction of new tariffs on Chinese goods, which were due to take effect on August 12, for another 90 days, Reuters reports.

President Trump also wrote on social media that "China is concerned about the soybean shortage. Our wonderful farmers produce the strongest soybeans. I hope China will quickly quadruple their soybean orders..."

This information led to an increase in soybean quotes, as traders hope that China will resume purchasing soybeans from the US (which it has not done since the new year) in order to finally sign a trade agreement with the US, which is still in the process of being agreed upon.

November soybean futures on the Chicago Board of Trade rose 2.4% yesterday to $371.6/t, recovering to last month's level.

According to the USDA NASS, the number of U.S. soybean crops in good or excellent condition decreased by 1% to 68% over the week, which is in line with last year's level.

Soybean exports from the US during August 1-7 decreased by 17.5% compared to the previous week to 518 thousand tons, and in total in the 2024/25 MY amounted to 48.37 million tons, which, although exceeding the corresponding figure last year by 11.2%, will not allow reaching the projected 50.8 million tons in the three weeks remaining before the end of the season.

Today, the USDA's updated global soybean balance will be released, in which analysts expect little change, mainly regarding a slight increase in soybean yields and production for the US.

Large soybean stocks in China, caused by active imports from Brazil, allow China to use the decision to resume soybean purchases from the US to pressure President Trump to speed up the signing of the agreement, as American farmers are suffering losses due to falling soybean prices.