China will reimburse the buyer for the cost of the 25% tariff on soybean imports from the U.S. if the cargoes are for state reserves, according to people familiar with the matter.
Bloomberg reports state reserve buyers will pay the additional tariff before they’re later reimbursed by the government, according to the people, who asked not to be identified because they’re not authorized to speak to the media.
At least one U.S. soybean cargo currently on the water is destined for state reserves. Still, most of about 20 cargoes purchased earlier for state reserves have already been canceled, Li Qiang, chief analyst with Shanghai JC Intelligence Co., told Bloomberg.
