China to Unveil Details of First Batch of U.S. Soybean Purchases
Majority of beans bought from American farmers are expected to be stored in state reserves
China intends to announce this month the first batch of U.S. soybean purchases where most, if not all, will be destined for state reserves, according to government officials.
According to the South China Morning Post, the final decision will be made by the State Council or cabinet, said officials, who declined to be identified as the matter is confidential.
Details to be decided include whether the volume should be 5 million tonnes or 8 million tonnes and if commercial companies should buy a further 2 million tonnes and be reimbursed for the 25% tariffs.
It remains unclear whether the purchases will be made this month and if the shipments will be taxed first and reimbursed later, or if it will follow a cut in tariffs, officials said.