The Chinese port of Nantong in Jiangsu province, China.
Xu Congjun | Visual China Group | Getty Images
China has stopped buying US soybeans in another chess flow in the escalated trade war with the United States, according to a Bloomberg report.
Chinese buyers have stopped ordering and do not expect to resume their purchases due to the disagreement on trade between the world's two largest economies, the Bloomberg report says, citing people familiar with the case. They also said that China is currently not planning to cancel previous orders.
U.S. soybean farmers have severely hit the trade tensions as the value of soybean exports to China fell 74% to 3.1
The latest step from China followed a lot of tit-tat tactics between the two countries. China has threatened to abolish rare earth mineral supplies to the United States, a key material in the technical supply chain, after President Donald Trump has blacklisted the Chinese telecommunications giant Huawei. The US Department of Defense is now seeking to reduce its dependence on Chinese rare earth materials.
Both sides valued billions of dollars worth of each other's goods earlier in the month. The $ 60 billion duty in US goods in return for the $ 200 billion higher duty of Chinese products will kick in on June 1.
The stock market has been in turmoil in the midst of intensified trade tensions, as large US indices are all on pace to send their first negative month in 2019. S & P 500 has fallen 5.5% in May, while the Dow Jones Industrial Average has lost about 1,300 points this month.
– Click here to read the original Bloomberg report .