Corn: What Are the Impacts of the Agreement Between China and the USA?

The recent trade agreement between China and the United States has brought reflections to the international corn market. According to an analysis by Grão Direto released this Monday (16), the temporary reduction of tariffs on American products tends to create an environment of greater stability, with expectations of a slight increase in US exports to the Asian market. "The impact on corn is limited, as China still imports low volumes of the North American cereal," the analysis assessed. Despite this, Brazil and Argentina remain competitive suppliers, in a scenario of record harvest in the US and comfortable global stocks. The escalation of the war in the Middle East also raises concerns in the sector. Iran, which ranks third among Brazil's largest corn buyers in 2024, accounted for more than 35% of national product exports year to date, according to Secex data. Additionally, Iran is one of the world's leading exporters of nitrogen fertilizers, with over 4.5 million tons sold ...