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China: U.S. Trading Company Halts Soybean Sales to China Over Trade Uncertainty, Falling Sales

1 MIN READJul 26, 2019 | 16:51 GMT

What Happened: Portland-based Columbia Grain Trading Inc. has said it stopped all new soybean sales to Chinese customers over falling profits and ongoing trade uncertainty, Bloomberg reported July 26.

Why It Matters: The announcement is part of a broader strategy by its Japanese parent company Marubeni Corp. to gradually terminate its Chinese soybean operations by 2020. Prolonged trade uncertainty and global markets are forcing companies worldwide to adjust their business operations and shift their supply chains.

Background: Chinese firms recently decided to resume their purchases of U.S. soybeans after U.S. President Donald Trump and Chinese President Xi Jinping reached a trade truce and China promised to restart soybean purchases in exchange for easing U.S. restrictions on Huawei.

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