Reference News Network, September 30 report - According to the website of Hong Kong's South China Morning Post, Argentina's soybean export orders have surged to a seven-year high this month, as Chinese importers purchased hundreds of thousands of tons of soybeans during the temporary suspension of Argentina's export tax, with more than half of its recent demand coming from South America.
The report stated that this surge in orders has made the U.S. government nervous, deepening divisions within the U.S. government between the close relationship between Argentine President Javier Milei and Beijing, and the direct blow to American farmers as seen by many Republicans.
According to the report, days before Trump met with Milei, Buenos Aires suspended export taxes on soybeans, corn, wheat, and their by-products to accelerate external sales and obtain hard currency amid a weak peso.
The export taxes on soybeans, soy oil, and soy meal had previously reached as high as 26% and 24.5%, respectively, but now they have been reduced to zero, resulting in sales worth $7 billion announced within just two days.
Reuters reported last week that about 40 batches of Argentine soybeans have been registered for export in November and December, most of which will be shipped to China.
The total of 266,000 tons of soybeans to be exported in these two months account for more than 50% of the soybeans booked during the tariff-free window period.
Therefore, as news of China's purchase of Argentine soybeans spread across global markets, Chicago Mercantile Exchange soybean futures fell for the second consecutive week on Friday.
The report also said that the price drop has increased pressure on farmers in the U.S. Midwest, who are a key part of Trump's voter base ahead of the 2026 midterm elections. Farmers in Indiana and Minnesota have warned of declining sales, stating that federal subsidies cannot replace the demand from China. (Translated by Qiu Fang)
Original: https://www.toutiao.com/article/7555745296022602250/
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