Wedoany.com Report-Nov. 8, China’s customs authority announced on Friday that it will restore soybean import licenses for three U.S. companies and lift the ban on U.S. log imports starting November 10, marking a step toward stabilising trade relations between the world’s two largest economies.

The restored import licenses apply to the U.S. farmer-owned cooperative CHS, global grain trader Louis Dreyfus Company Grains Merchandising, and export terminal operator EGT. These licenses had been suspended in March amid rising trade tensions between Beijing and Washington. Their reinstatement signals an intention to normalise agricultural trade flows disrupted earlier this year.

At the same time, China will lift its suspension on log imports from the United States, which was introduced as a reciprocal measure following a U.S. order on March 1 to review lumber imports. The resumption of log trade is expected to support exporters and improve resource supply chains that had been limited during the ban period.

Investor confidence strengthened after a meeting between Chinese leader Xi Jinping and former U.S. President Donald Trump in South Korea, which eased concerns over the future of trade discussions. The talks signalled that both sides were willing to maintain dialogue and prevent further escalation in trade restrictions.

In line with the improved diplomatic atmosphere, China has also lifted some tariffs imposed in March on American agricultural products. Limited purchases of U.S. farm goods have resumed, including two cargoes of wheat, reflecting gradual recovery in agricultural trade between the two nations. In addition, state-owned grain trader COFCO booked three U.S. soybean shipments ahead of the leaders’ meeting, underscoring renewed commercial engagement.

However, market participants remain cautious. Despite recent progress, a 10% tariff on all U.S. imports, including agricultural commodities, remains in place. This continued tariff pressure constrains the outlook for a full recovery in bilateral trade and may temper export volumes in the short term.

The reinstatement of soybean import licenses and the lifting of the log import ban nevertheless represent tangible progress in restoring trade ties. They are expected to help stabilise agricultural and forestry trade between the two countries, benefiting producers, exporters, and supply chain operators on both sides.

China remains one of the world’s largest importers of soybeans and a key participant in the global agricultural market. The restoration of trade channels with major suppliers is likely to strengthen supply security and market diversity while supporting domestic demand for feed and food processing industries.

Overall, the latest developments mark a positive turn in China-U.S. trade relations, demonstrating a pragmatic approach to cooperation and the gradual rebuilding of confidence in the global commodities market.