NASHVILLE, Tenn. (RFD NEWS) — U.S. corn and soybean export economics shifted noticeably in the third quarter of 2025 as transportation costs rose from the previous quarter but remained lower than a year earlier, underscoring how logistics — not farm prices alone — continue to shape export competitiveness.
From the second to the third quarter, transportation costs from Minneapolis to Japan increased for both corn and soybeans through the U.S. Gulf and Pacific Northwest. The quarter-to-quarter rise was driven primarily by higher ocean freight rates, reflecting strong global bulk demand, seasonal shipping patterns, and temporary logistical constraints. Gulf-route transportation costs jumped 14 percent for both crops, fueled by an 18 percent increase in barge rates and a 17 percent rise in ocean freight, partially offset by slightly lower trucking costs.
Despite higher freight costs, total landed costs were cushioned by weaker farm values. Corn farm prices fell nearly 12 percent quarter to quarter, while soybean values declined about 3 percent. As a result, total landed costs through the Gulf fell 3 percent for corn and rose just 1 percent for soybeans.
Year over year, the picture was more favorable. Transportation costs declined modestly on both routes as truck, rail, and ocean freight rates eased. Total landed costs fell for both commodities, particularly soybeans, improving U.S. export competitiveness.
Inspection data confirmed strong Gulf export flows, while Pacific Northwest corn shipments surged on Asian demand. USDA projects corn exports will rise in 2025/26, while soybean exports are expected to decline.
Farm-Level Takeaway: Freight volatility increasingly determines export margins, making logistics costs as important as price in marketing decisions.
Tony St. James, RFD NEWS Markets Specialist
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