China’s Soybean Imports Plunge to Lowest Point in Ten Years

Key Moments:

Imports Plummet on Logistical Setbacks

China’s soybean imports shrank sharply in April, falling to their lowest monthly volume in a decade due to customs clearance slowdowns and delayed shipments from Brazil. According to data derived from the General Administration of Customs, incoming cargoes totaled 6.08 million metric tons during the month, a 29.1% YoY decline.

Traders and analysts attributed the substantial drop to disruptions caused by delayed harvests and logistical bottlenecks in Brazil that slowed cargo movement. The resulting backlogs and slower port-to-plant transfers have exacerbated bottlenecks in China’s soybean crushing sector.

The Dalian Commodity Exchange’s soymeal futures benchmark dropped by 0.4% on Friday, contrasting a surge experienced last month due to supply tightness that is expected to ease due to imports from Brazil.

Supply Chain Disruptions Hit Crushing Sector

Between April and May, China’s oilseed processing capacity came under intense strain. Industry participants noted the typical 7 to 10-day interval to move soybean shipments from port to crushing plants had lengthened to a range from 20 to 25 days. This delay led to reduced output or outright halts at facilities in northern and northeastern China, according to anonymous market sources who reached out to media giant Reuters.

Feed mills in some regions reportedly ran out of soymeal and were forced to make purchases at higher costs. Though there was no official statement acknowledging the delays, they come amid tense trade relations between Beijing and Washington.

US Shipments Continue to Slide

According to Sublime China Information’s Wang Wenshen, purchases from the US retreated in May, extending their downward trend. Recent data provided by the United States Department of Agriculture confirmed the decline, revealing that no orders for US soybeans were made in the 2024/25 marketing year, a sharp contrast to pre-tariff conflict purchase figures, which had made the US China’s top soybeans importer.