Brazil is projected to produce a record soybean crop in 2025, exceeding last year’s yield by over 10%. The increase in production capacity and similar yield trends to the U.S. are contributing factors. This crop size is expected to lower U.S. soybean prices, compounded by potential tariffs that could shift sales to Brazil and Argentina.
Brazil is set to achieve a record soybean crop in 2025. According to Chad Hart, an economist at Iowa State University Extension, the country is enhancing its production capacity through both land expansion and yield improvements, mirroring trends observed in the U.S. This growth is expected to exert downward pressure on soybean prices in the U.S. market.
Hart mentions that tariffs may further impact U.S. soybean sales. He explains that Brazil and Argentina are positioned to capitalize on uncertainties in the market, as potential lost sales from the U.S. could be redirected to these South American nations. As a result, these countries are likely to benefit from the tariffs affecting U.S. exports.
Projected soybean production in Brazil is anticipated to exceed last year’s figures by more than 10%. This surge underscores the significant increase in Brazil’s agricultural productivity, continuing to shape the global soybean market dynamics.
Brazil’s anticipated record soybean production in 2025 reflects a notable increase in agricultural output, primarily due to enhanced production capacity and improved yields. This surge is likely to impact U.S. soybean prices negatively, especially amidst ongoing trade uncertainties and tariffs that may divert sales to Brazil and Argentina, benefitting these countries in the global soybean market.
Original Source: www.brownfieldagnews.com
