# US–China tariffs take effect; China halts US soybean purchases

> First tranche of tariffs takes effect; US soybean exports to China collapse and Brazil premiums spike.

- Date: 2018-07-06 · published 2018-07-06T12:00:00.000Z
- Category: trade · region China / US
- Page: https://feedsoft.ai/events/4-us-china-tariffs-take-effect-china-halts-us-soybean-purchases
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Soybean Meal](https://feedsoft.ai/c/SBM.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md), [Corn](https://feedsoft.ai/c/CORN.md), [Lean Hogs](https://feedsoft.ai/c/HOGS.md)

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| SOY | 2018-07-06 | 1 | +4.6% | 4.4 | Tariffs taking effect on the same day removed uncertainty, and the 'sell the rumor, buy the fact' short-covering rebound after weeks of tariff-driven selling plausibly drove the sharp one-day rise in US soybean futures. |
| SOY | 2018-07-06 | 1 | +4.6% | 4.4 | Tariffs taking effect on the same day removed uncertainty, and the 'sell the rumor, buy the fact' short-covering rebound after weeks of tariff-driven selling plausibly drove the sharp one-day rise in US soybean futures. |
| SBM | 2018-07-06 | 1 | +3.5% | 3.2 | Tariffs taking effect the same day removed uncertainty (a 'sell the rumor, buy the fact' relief bounce) and shifted crush and meal trade flows, supporting US soybean meal prices. |
| SBM | 2018-07-06 | 1 | +3.5% | 3.2 | Tariffs taking effect the same day removed uncertainty (a 'sell the rumor, buy the fact' relief bounce) and shifted crush and meal trade flows, supporting US soybean meal prices. |
| SOY | 2018-07-12 | 5 | -6.9% | -3.0 | Chinese 25% tariffs took effect July 6, collapsing US exports to China and shifting demand to Brazil, a bearish trade-flow factor. |
| CORN | 2018-07-13 | 5 | -5.2% | -2.8 | US-China tariffs taking effect on July 6 and the halt in Chinese soybean purchases weighed on soybeans and spilled over into corn through trade-war sentiment and lower export demand expectations. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2019-11-01 | [Soybean Prices Dip As Trump's Chinese Tariffs Take Effect](https://feedsoft.ai/events/56103-soybean-prices-dip-as-trump-s-chinese-tariffs-take-effect.md) | +0.9% | -4.4% |
| SOY | 2018-05-09 | [China cutting US soybean purchases in face of tariffs threat \| AP News](https://feedsoft.ai/events/64913-china-cutting-us-soybean-purchases-in-face-of-tariffs-threat-ap-news.md) | +0.7% | -1.7% |
| SOY | 2026-08-01 | [Tariffs, in the way of larger China purchases of US soybeans: market sources](https://feedsoft.ai/events/18362-tariffs-in-the-way-of-larger-china-purchases-of-us-soybeans-market-sources.md) | -1.3% | +8.9% |
| SOY | 2023-09-22 | [China cuts soybean purchases from the US in August](https://feedsoft.ai/events/14811-china-cuts-soybean-purchases-from-the-us-in-august.md) | +0.5% | +1.7% |
| SOY | 2019-08-01 | [China’s U.S. Soybean Purchases Slump to 2004 Low](https://feedsoft.ai/events/57948-china-s-u-s-soybean-purchases-slump-to-2004-low.md) | -1.8% | -1.3% |
| SBM | 2019-11-01 | [Soybean Prices Dip As Trump's Chinese Tariffs Take Effect](https://feedsoft.ai/events/56103-soybean-prices-dip-as-trump-s-chinese-tariffs-take-effect.md) | +0.4% | -4.4% |
| SBM | 2026-08-01 | [Tariffs, in the way of larger China purchases of US soybeans: market sources](https://feedsoft.ai/events/18362-tariffs-in-the-way-of-larger-china-purchases-of-us-soybeans-market-sources.md) | -0.8% | +8.2% |
| SBM | 2023-09-22 | [China cuts soybean purchases from the US in August](https://feedsoft.ai/events/14811-china-cuts-soybean-purchases-from-the-us-in-august.md) | +0.5% | +6.4% |

## Sources

- Wikipedia: https://en.wikipedia.org/wiki/China%E2%80%93United_States_trade_war

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.