By 
China’s foreign relations ministry spokesperson, Lin Jian, stated that China is ready to confront any form of conflict with the US amid escalating tensions between the two countries.
The spokesperson’s statement on the X social media platform was shared by the Chinese embassy’s official account in the US. Jian suggests that Americans should move away from the approach of intimidation and opt for cooperation promptly.
The total tariff imposed on exports from China is currently at 20%, and the spokesperson cautions that targeting China with pressure is a misguided move.
Itaú BBA anticipates 5 consequences from China tariffs on US commodities.
After the United States implemented tariffs on China on Tuesday, China retaliated by imposing 15% tariffs on American agricultural products. This action is expected to impact various sectors of the US and Brazilian commodities markets, as analyzed by Itaú BBA.
China will impose taxes on beef, pork, poultry, corn, cotton, soybeans, and sorghum imported from the United States, starting on March 10.
China is a significant purchaser of US soybeans and cotton, making up 50% and 37% of the exports in 2024, as stated by Itaú BBA.
The bank mentioned the decrease in pressure on US agricultural exports, a possible price adjustment through redirecting grain and protein supply, and a potential rise in Brazilian exports to China among the reactions.
Itaú BBA also predicts a potential rise in grain prices in Brazil due to increased volatility in the commodity market caused by advancing tariffs.
SLC Agricola and BrasilAgro are expected to profit from these conditions, while JBS and Marfrig may face difficulties with their US operations in the short term, but could see better dynamics in Australia and South America.
Comments