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China May Regret Placing Tariffs on U.S. Soybeans

Move may backfire on its own farmers

One of China's major moves in the trade war with the United States is in danger of backfiring on its own farmers, reports CNN Money.

They're facing a potential shortage of soybeans, one of China's biggest imports from the United States, after Beijing slapped a 25% tariff on them last month in retaliation for U.S. tariffs.

The country is the world's biggest buyer of soybeans. More than a third come from the United States, and those soybeans are now more expensive because of the tariff. China may struggle to find alternative suppliers that can replace what it would have imported from the U.S.

And analysts are skeptical that China will be able to grow anywhere near enough soybeans to satisfy local demand, at least anytime soon.

Some analysts predict Chinese importers will have to return to U.S. soybeans, tariff and all, later in the year after they run out of supplies from elsewhere.

Read the full report at CNN Money.

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