KUALA LUMPUR, April 5 -- China's threat to impose a 25-percent tariff on imported soybeans from the United States is expected to have a positive impact on palm oil-producing countries including Malaysia, as Chinese demand on the substitute oil may increase, said analysts Thursday.
"Given that crude palm oil (CPO) can be a substitute for soybean oil, we believe Chinese tariffs on American soybeans can be good for the palm oil-producing countries, especially Indonesia and Malaysia as they account for about 84 percent of global palm oil supply," Affin Hwang Capital said in a note.
It foresees the move to boost demand for Malaysian palm oil products, and help to further lower the country's stockpile levels. Malaysia's palm oil inventory rose 69.8 percent year-on-year to 2.48 million tonnes in February.
The research house also expects the move to boost CPO prices. "There is a possibility of a short-term rally should this event materialize," it said while maintaining its CPO average selling price assumption for 2018 and 2019 at 2,600 ringgit to 2,500 ringgit per tonne.
MIDF Research also said in a note Thursday that Chinese tariffs move is positive to CPO price as it expects higher China's demand on palm oil in the long run.
While expecting China to increase soybean import from Brazil, the research house believes that the volume is not enough to compensate the lower volume from U.S.
"In the long run, we expect lower soybean oil (which is a by-product of soybean crushing) supply in China. Palm oil stands to benefit from this as it is a common substitute for soybean oil for use in the food processing industry," it said.
In response to U.S. proposed tariffs on Chinese products, China on Wednesday hit back with a slew of tariffs on U.S. goods, including a 25-percent on soybeans.
Ambank Research highlighted in its note Thursday that other countries' soybean exporters will also be winners under China's recent countermeasures.
"With China's new 25-percent tariffs on U.S. soybeans, the single most valuable exporter to China worth 14 billion U.S. dollars annually, it will be a boon for other exporters of the grains like Brazil and Argentina given that the U.S. soybeans will now become more expensive," it said, adding that Russia might also be able to make up some of the shortfall in supply of soybeans.
China is the largest purchaser of U.S. soybeans, consuming nearly a third of U.S. production worth 14 billion dollars annually.
2017两会代表精彩语录之八
中外最强毒舌: 该不该买苹果表
2017两会代表精彩语录之十一
国际英语资讯:UK to impose 14-day quarantine on new arrivals as COVID-19 deaths hit 36,393
新疆确有人越境参加IS
国内英语资讯:Economic Watch: China embraces new infrastructure to catalyze new growth drivers
国际英语资讯:Poll shows African Americans, Latinos nearly 3 times as likely to know someone who died of C
委员:莫让“神翻译”逍遥“法”外[1]
延迟退休大家议
国内英语资讯:China urges United States to abandon Cold War mentality
2017两会代表精彩语录之六
MH370机长无异常行为
抖音现在厉害了,从迪士尼挖高管来做CEO
马凯:严重腐败现象是山西省的毒瘤
2017两会代表精彩语录之九
出国旅游季:盘点各个国家的免费福利[1]
2017两会代表精彩语录之十二
2017两会代表精彩语录之七
国际英语资讯:At least 50 killed in passenger plane crash in Pakistans Karachi, black box found
新常态下中国经济发展的七大机遇
体坛英语资讯:Casemiro: Im not thinking about winning La Liga
美国漫威之父斯坦•李将把猴王拍成电影
体坛英语资讯:Feature: Marathoner Tuliamuk relishing Olympic dream despite coronavirus disruption
《权力的游戏》IT公司版[1]
2017两会代表精彩语录之四
外交部长王毅记者会精彩语录
政府工作报告关键词解读
2020年《政府工作报告》双语要点
体坛英语资讯:Former Honduras president embroiled in FIFA graft case dies
2017两会代表精彩语录之十
不限 |
英语教案 |
英语课件 |
英语试题 |
不限 |
不限 |
上册 |
下册 |
不限 |