The purchases have reignited market optimism around the soybean trade between the two agricultural powerhouses, which was worth more than US$12 billion ($15.63 billion) last year and will underpin any trade agreement.
Chicago soybeans rallied as much as 3.2% on Monday after the news, reported earlier by brokerage AgResource Co, though prices pared gains during Asian hours on Tuesday.
Cofco did not immediately reply to a request for comment.
Beijing’s latest purchases still leave plenty to be done in the coming months, however, at a time when stockpiles are plentiful. Washington has said Beijing pledged to buy 12 million tons of US soybeans by the end of this year, followed by 25 million tons annually over the next three years.
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While China has yet to confirm the specific purchase commitments, it has moved to reduce tariffs on the crop and lifted import bans on three American exporters, including CHS Inc, reciprocating similar conciliatory actions from the US.
US President Donald Trump has reiterated Washington’s belief that more cargoes will be booked in the coming weeks.
“They will be doing a lot of soybean purchases,” he told reporters aboard Air Force One last week, adding that they could start before spring.
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