Brazilian grain shipments up 9% as China seeks US alternative

Between January and April 2025, Brazilian grain shipments rose 9% y/y, supported by strong Chinese purchasing. As China imposed higher tariffs on cargoes from the US, the country sought alternative suppliers, such as Brazil,” says Filipe Gouveia, Shipping Analysis Manager at BIMCO.

The ramp-up in exports has been supported by a 9% increase in the soya bean harvest, according to estimates by the United States Department of Agriculture (USDA). Shipments were weakest in January due to a delay in the harvest, but they quickly ramped up in February, driving an increase in ship congestion. Soya beans account for 71% of Brazilian grain shipments while maize accounts for 27%.

China is a key importer of global and Brazilian grain shipments, making up respectively 25% and 53% of total shipments. Due to lower prices, China has gradually increased purchases of Brazilian cargoes over the last 10 years at the expense of US shipments. Since March 2025, US-China grain shipments have reduced further due to a 125 percentage points increase in import tariffs on US grains. Year-to-date, this has contributed to a 54% y/y reduction in US-China grain shipments while Brazil to China shipments have risen 9%.

“The pick-up in Brazilian grain exports has been positive for tonne mile demand in the panamax segment which transported 82% of cargoes in 2024. Due to their above average sailing distances, grain shipments from Brazil account for 19% of the segment’s tonne mile demand, despite comprising only 9% of its cargo volume. However, this has not been enough to keep the Baltic Panamax Index from falling 35% y/y so far in 2025,” says Gouveia.

Get More Info : Maritime Union Of India

Website : https://seajob.net/

Contact Us : Rig Jobs