May 30, 2019 - Economy

Report: China has stopped buying U.S. soybeans as trade war rages

A crane unloads soybeans imported from Brazil at Nantong Port on August 21, 2018 in Nantong, Jiangsu Province of China.

Imported soybeans in China. Photo: Xu Congjun/VCG via Getty Images

China has put purchases of American soybean supplies on hold amid escalating trade tensions with the U.S., Bloomberg reports, citing people familiar with the matter.

Why it matters: China is the world's biggest soybean buyer. This is a devastating blow to U.S. farmers, who are already feeling the impact of the trade war. China has no plans to cancel previous soybean purchases, but state grain buyers have received no new orders and they don't expect to while the trade war rages, according to Bloomberg.

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