Quotations for canola and soybean oil received support from Trump's threats to halt the import of processed vegetable oil from China.

US President Trump continues to seek leverage over China in the trade war, so on Tuesday he stated that Washington is considering halting the purchase of recycled vegetable oil from China if it does not resume the purchase of American soybeans. This provided support to the exchange quotations of soybean oil and canola. Recycled vegetable oil (UCO) is raw material collected after use in cafes and restaurants, which is typically used for the production of biofuels. Earlier this year, the Trump Administration had already reduced subsidies for the production of biofuels from imported recycled oil from China and rapeseed oil from Canada by 50%, stimulating the use of only vegetable oils of American origin in biofuel production. In 2024, China sold a record 1.27 million tons of recycled vegetable oils to the US worth $1.2 billion, but after Beijing canceled export tax incentives on December 1, 2024, supplies from China to the US amounted to about 387,000 tons in the first seven months ...