3 Big Things Today, March 5, 2025

1. Soybeans, Grains Higher in Overnight Trading

Soybean and grain futures rebounded in overnight trading on optimism that the U.S. will come to an agreement with Canada and Mexico to avoid prolong tariffs. 

President Donald Trump imposed blanket 25% tariffs on all goods from Canada and Mexico, the U.S.’s biggest trading partners, that took effect on Tuesday. Tariffs on China were doubled to 20%. 

Canada and China announced retaliatory tariffs and Mexico said it would announce what measures it would take on Sunday. 

The U.S. imposition of tariffs and the resulting retaliatory levies led to a massive selloff in commodities and equities in yesterday’s sessions. 

Late yesterday, however, Commerce Secretary said on Fox Business that the U.S. may be willing to meet Canada and Mexico “in the middle” to reduce or eliminate the tariffs. 

Mexico is the largest importer of U.S. corn and China is the biggest buyer of U.S. soybeans. 

Soybeans for May delivery gained 6¼¢ to $10.05¼ a bushel overnight on the Chicago Board of Trade. Soymeal was up $4.10 to $297.60 a short ton, and soy oil added 0.17¢ to 43.01¢ a pound. 

Corn futures rose 4¼¢ to $4.55¾ a bushel. 

Wheat futures for May delivery were up 6¾¢ to $5.43½ a bushel, while Kansas City futures gained 7¢ to $5.55½ a bushel. 

2. China Suspends Soybeans From Three U.S. Companies

China suspended soybean imports three U.S.-based exporters, citing “alleged detections of ergot and seed-coating agents,” according to an attaché report from the U.S. Department of Agriculture’s office in Beijing.

CHS Inc., Louis Dreyfus Grains Merchandising and EGT LLC were all suspended, the General Administration of Customs of China (GACC) said. 

The announcement was made in conjunction with new tariffs imposed on U.S. products in retaliation for Washington doubling its levy on all Chinese items to 20%. 

China imposed retaliatory tariffs of 10–15% on some U.S. products. The tariff rate for U.S. soybeans will remain at 10%, the USDA attaché report said. 

The Asian nation is the biggest importer of soybeans globally. 

The Ag Department said last month it expects China to import 109 million metric tons of soybeans from global suppliers in the 2024/2025 marketing year. 

That’s down from 112 million metric tons a year earlier but up from the 104.5 million tons shipped in the 2022/2023 season, USDA data show. 

3. Winter Weather to Persist in Iowa, Wisconsin

Strong winds and blowing snow will persist in much of Iowa and southern Minnesota today while winter storm warnings remain in effect for much of Wisconsin, according to the National Weather Service.

Blizzard warnings will be in place in much of Iowa until mid-afternoon, the agency said. Winds will gust from 50–65 mph.

“With snow still falling across much of the area this morning, blizzard conditions will continue until the snow gradually ends from west to east by this afternoon,” NWS said. “Even then, the strong winds will continue to blow snow around, prolonging difficult travel conditions.” 

Heavy snow is forecast for much of Wisconsin today with 4–7 inches expected. 

Winds will gust up to 40 mph, leading to blowing and drifting snow, the agency said. 

“Travel could be very difficult, if not impossible,” NWS said. “Areas of blowing snow could significantly reduce visibility. Whiteout conditions are possible at times in open areas.”