<article><p class="lead">China's imports of US corn in December fell to their lowest since July 2020 and a multi-year low for the month, as higher US corn prices pushed Chinese buyers to seek other suppliers.</p><p>China received 240,000t of US corn last month, down from 720,000t a month earlier and 1.06mn t at the same time a year earlier, data from the General Administration of Customs show. This was the lowest since 134,000t in July 2020<i></i>and the lowest for the month since 357,000t in December 2018 <i>(see chart)</i>. </p><p>Lower receipts from the US weighed on China's overall corn imports last month, which totalled 1.33mn t, down from 2.25mn t a year earlier. But receipts rose from 2021's low of 790,000t in November.</p><p>China has been reducing purchases from the US since US corn values rose to a premium to competing origins on a fob basis in September. Hurricane Ida disrupted US Gulf coast port activity in early September, supporting US corn prices well into mid-October. US corn has since lost some of its premium, occasionally turning to a discount to Ukrainian corn, after logistical challenges in Ukraine pushed up the price of its crop. </p><p>Higher US corn prices for most of the 2021-22 marketing year (September-August) have weighed on US exports to China, which stand at 2.57mn t, down from 5.72mn t at the same time a year earlier, US Department of Agriculture (USDA) data show. </p><p>Ukraine was the largest corn supplier to China in December, sending 920,000t, up from just 51,000t in November, but down from 1.07mn t a year earlier. </p><p>And receipts from Bulgaria reached 145,000t — the highest for December in at least 10 years. Receipts from Myanmar reached 84,500t. </p><p>Higher corn imports — including from the US — for most of 2021 pushed China's overall receipts to a multi-year high of 28.35mn t, up from 11.29mn t in 2020 and just 4.79mn t in 2019. Last year's volumes far exceeded the 7.2mn t import quota, reflecting positive import margins and strong buying interest. </p><p class="bylines"><i>By Bilal Muftuoglu</i></p><p><div class="picture"><div><span class="pic_title">China's corn imports</span> <span class="units">000t</span></div><img src="https://argus-public-assets-us.s3.amazonaws.com/2022/01/20/china'scornimports20012022012223.jpg"></div></p></article>
