The CFR China soybean basis has reached a historical low, coming close to 0 cent/bushel, due to weaker domestic demand and falling negative FOB premiums in Brazil, where a large soybean crop is expected. The basis has fallen 90% week on week and 95% month on month, reflecting reduced open demand for May and June shipments from Brazil. Commercial crushers in China are hesitant to bid amid falling prices, and multiple Chinese crushers and traders anticipate the basis to move into negative territory. However, a lower soybean premium or flat price does not necessarily mean a sudden increase in demand.