U.S. Farmer Represents U.S. Soy During Signing Ceremonies in China

By - Monday, November 13, 2017

USSEC chairman and American Soybean Association (ASA) director Jim Miller, a Nebraska farmer, represented the U.S. Soy industry during two signing ceremonies in Beijing during President Donald Trump’s 12-day trip to Asia. The ceremonies took place on November 8 and 9.

On November 8, USSEC, representing 10 U.S. soybean exporters, signed a letter of intent (LOI) with China Chamber of Commerce for Import and Export of Foodstuffs, Native Produce and Animal By-products (CFNA) representing 10 Chinese importers. This signing represented 8 million metric tons (MMT) of U.S. soybeans valued at $3.4 billion. U.S. Commerce Secretary Wilbur Ross and China’s vice-premier Wang Yang attended the ceremony.

The November 9 signing represented 4 MMT of U.S. soybeans valued at $1.6 billion USD. Presidents Trump and Xi witnessed this agreement between ADM and COFCO.

Chinese buyers have committed to buy a total of $11.57 billion worth of soybeans through three signing ceremonies for the 2017/18 marketing year. Shipments against these purchase contracts will take place during 2017/18 marketing year.

USSEC Country Director – China Xiaoping Zhang estimates that the U.S. will have final sales of $14 billion worth of soybeans to China by the end of August 2018 and that these current commitments will account for 82.6 percent of the estimated total

In the 2016/17 marketing year, two signing ceremonies accounted for $3.88 billion of the $14.57 billion in U.S. Soy sold to China (26.6 percent).

 

For MY16/17 Volume Value
1st signing ceremony in Indianapolis/Aug. 2016 3.96 mmt $1.78 billion
2nd signing ceremony in Des Moines/Oct. 2016 5.10 mmt $2.10 billion
Total in ceremonies 9.06 mmt $3.88 billion
Actual total 36.25 mmt $14.57 billion
% signing of total 25.0% 26.6%
For MY17/18 Volume Value
1st signing ceremony in Des Moines/Jul. 2017 12.53 mmt $5.01 billion
2nd signing ceremony in Omaha/Aug. 2017 3.80 mmt $1.56 billion
3rd signing ceremony in Beijing/Nov. 2017 12.00 mmt $5.00 billion
Total in ceremonies 28.33 mmt $11.57 billion
Estimated total 33.00 mmt $14.00 billion
% signing of estimated total 85.8% 82.6%

Chairman Miller’s view at the ADM signing with COFCO for $1.8 billion worth of U.S. soybeans

 

The chairman of Goldman Sachs (L) and the chairman of Dow DuPont (R) attended the signing ceremony

 

Chairman Miller (back to camera, left) participates in a signing ceremony

 

Chairman Miller poses in front of the Great Hall of the People with a letter of intent valued at $3 billion in U.S. soybean purchases

 

Chairman Miller with China’s Ministry of Agriculture (MOA) Vice Minister Qu and Dow DuPont Chairman Andrew Liveris

 

Chairman Miller with Eric Branstad, Senior White House Advisor, Department of Commerce and MOA Vice Minister Qu

 

President Xi’s speech

 

President Trump’s speech