# How an escalating trade war could play out for ocean shipping - FreightWaves

> The U.S. raised tariffs on $200 billion of Chinese goods from 10 to 25 percent and threatened more. Analysis suggests that the effect on ocean shipping depends on ship type and on changes in ton-miles. U.S. soybean sales to China have already been sharply curtailed and rerouted, with Europe becoming the largest destination.

- Date: 2019-05-11 · published 2019-05-11T12:00:00.000Z
- Category: trade · region US-China · magnitude medium
- Page: https://feedsoft.ai/events/59286-how-an-escalating-trade-war-could-play-out-for-ocean-shipping-freightwaves
- Commodities: [Soybeans](https://feedsoft.ai/c/SOY.md), [Ocean Grain Freight](https://feedsoft.ai/c/OCEANFRT.md)

## Why it matters

Lower U.S. soybean flows to China weigh on soybean and meal demand. Rerouted cargoes add ton-miles, which partly offsets the freight impact.

## Read by commodity

- SOY: bearish ▼
- OCEANFRT: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| SOY | 2019-12-03 | [Ocean shipping in crossfire again as trade war reignites - FreightWaves](https://feedsoft.ai/events/55762-ocean-shipping-in-crossfire-again-as-trade-war-reignites-freightwaves.md) | +3.1% | +8.3% |
| SOY | 2019-08-23 | [New Trade War Escalation Sends Shockwaves Through Oil Markets \| OilPrice.com](https://feedsoft.ai/events/57750-new-trade-war-escalation-sends-shockwaves-through-oil-markets-oilprice-com.md) | +0.0% | +3.1% |
| SOY | 2018-09-27 | [Brazil-premium for soybeans could see Chinese buyers increasing shipments from the US - FreightWaves](https://feedsoft.ai/events/63102-brazil-premium-for-soybeans-could-see-chinese-buyers-increasing-shipments-from.md) | +1.4% | +0.0% |
| SOY | 2019-01-08 | [Dry Bulk Shipping: The Effect of the Trade War](https://feedsoft.ai/events/61285-dry-bulk-shipping-the-effect-of-the-trade-war.md) | -2.4% | +0.9% |
| SOY | 2025-03-04 | [CBOT soybeans tumble on escalating trade tensions](https://feedsoft.ai/events/11137-cbot-soybeans-tumble-on-escalating-trade-tensions.md) | +0.2% | +1.7% |

## Sources

- freightwaves.com: https://www.freightwaves.com/news/how-an-escalating-trade-war-could-play-out-for-ocean-shipping

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