China has suspended soybean imports from five Brazilian suppliers after inspectors discovered pesticide-treated wheat in a shipment destined for Beijing, officials from both nations reported on Thursday.
The ban affects two Cargill facilities and one additional plant, with four located in São Paulo state and one in Rio Grande do Sul.
During port inspections in China, officials detected contamination on the vessel Shine Ruby, which was transporting around 69,000 tons of soybeans. About ten tons of wheat coated with a chemical not approved for food or animal feed were discovered in the hold.
The customs agency described the incident as a ‘serious violation’ of China’s food safety regulations, noting that the pesticide is permitted only for seed treatment.
Since Brazilian wheat is not authorized for import into China, the discovery further compounded the breach.
In a letter to Brazil’s embassy in Beijing, the customs stated that the decision was intended to safeguard public health and secure the safety of imports.
The ban, which took effect on Thursday, applies solely to the specified facilities, while other plants operated by the same companies are still allowed to export.
The move coincided with China boosting purchases of U.S. soybeans following renewed trade talks with Washington. According to the U.S. Department of Agriculture, Chinese buyers agreed this week to buy 10 to 12 shipments of soybeans worth $300 million, each carrying roughly 60,000 tons and scheduled to depart in January from Gulf and Pacific Northwest ports.
Analysts noted that the purchase aligns with a seasonal trend, as Brazil’s exports typically slow during its planting season, providing U.S. suppliers a brief opportunity to meet demand.
Despite the increase in U.S. shipments, Brazil remains China’s primary soybean supplier, accounting for around 73 million tons from January to October.
Meanwhile, Brazil’s agriculture ministry confirmed on Friday that it had received China’s notification and summoned the affected companies for a review.
China stated the suspension will stay in place until the firms finish investigating the contamination and implement corrective actions approved by Brazilian authorities.
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