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China halts some U.S. ag imports

The Chinese government has reportedly told its major state-run commodity buyers to pause purchases of some American farm goods, including soybeans and pork, as tensions with the U.S. continue to escalate.

However, one market analyst says the suspension of purchases is probably temporary.  Arlan Suderman with INTL FCStone says that is the opinion of his company’s analysts in Shanghai.

“They were a little bit puzzled by the story that came out, because they say China is going to need the pork and China is going to need the beans,” Sunderman says.

He says those analysts believe it is a risky move by the Chinese government.

“This really looks like China is running out of tools in its toolbox to retaliate against the United States,” Suderman says. “And they risk looking bad out of it.”

China’s move to halt imports comes after President Trump on Friday said the U.S. would begin the process of revoking Hong Kong’s special status under U.S. law in response to China’s plans to impose greater restrictions on the territory.