By Lukasz Z / Shutterstock
BEIJING, May 10 (Reuters) – Three ships carrying livestock feed grain, sorghum, from the U.S. to China switched their destinations on Thursday to Japan and South Korea, according to Thomson Reuters Eikon ship tracking data, after Beijing hit imports with hefty anti-dumping deposits.
The cargoes are among roughly two dozen bought by China but left stranded after Beijing announced last month it would hit U.S. imports with a 178.6 percent deposit on the value of sorghum shipments. The move was part of an anti-dumping probe by China as trade tensions with the U.S. escalate.
Sorghum is mainly used in livestock feed and the fiery Chinese liquor baijiu.
The ‘Ocean Belt’ carrying 58,000 tonnes of sorghum from the United States switched its destination from China to Kashima, Japan, according to the data.
It had loaded U.S. sorghum from trader Cargill’s Houston grain elevator in Texas and departed on March 31 for Guangzhou in southern China, according to U.S. Department of Agriculture data.
It stopped in the Pacific Ocean on April 18 and was “not under command” until switching its destination on Thursday to Japan. It is now underway and due to arrive in Japan on May 25, according to the data.
Another vessel, the Ocean Favour, which also loaded the grain at Cargill’s Houston elevator, switched destinations from Nansha port in China to South Korea. A third vessel carrying sorghum, the Stamford Eagle, changed its destination from Qingdao to Japan earlier on Thursday.
Rita Aspen, regional communications director for Cargill in Asia, said the company could not confirm or divulge vessel destinations, contents or customer names for safety and competitive reasons.
She added that the company was “not the importer of record” for the cargoes and therefore did not bear any cost responsibility as a result of vessels being redirected.
With Chinese importers facing losses of millions of dollars if they bring the cargoes into China, exporters have been working to resell the grain to buyers elsewhere. However they are being forced to offer steep discounts.
Three cargoes have been resold to Saudi Arabia and several more are heading for Spain.
(Reporting by Dominique Patton; Editing by Elaine Hardcastlea and Alexandra Hudson)
(c) Copyright Thomson Reuters 2018.
Join the gCaptain Club for curated content, insider opinions, and vibrant community discussions.
Join the 108,771 members that receive our newsletter.
Have a news tip? Let us know.
By Dimitri Rhodes Nov 7 (Reuters) – Belgian oil tanker company CMB Tech says it will focus on the fast growing market in India as it reported third quarter results...
In a bold move amidst Russia’s intensified rocket attacks on civilian ships and Ukrainian ports, Maersk has launched a new weekly container service into Ukraine, signaling resilience in the country’s...
By Robert Tuttle (Bloomberg) A tanker of Canadian crude was shipped from Vancouver to Alaska for the first time in at least 10 years as the recently expanded Trans Mountain pipeline...
Maritime and offshore news trusted by our 108,771 members delivered daily straight to your inbox.
Essential news coupled with the finest maritime content sourced from across the globe.
Sign Up
Join The Club
