Lower Shipping Costs Fail to Boost Soybean Exports

Lower shipping costs alone will not restore export competitiveness.

Aerial of cargo ship carrying container for export cargo from cargo yard port to other ocean concept smart freight shipping ship front view_Photo by Yellow Boat via AdobeStock_1601867486.jpg

Aerial of a cargo ship carrying a container of exports.

Photo by Yellow Boat via Adobe Stock

NASHVILLE, Tenn. (RFD NEWS) — U.S. soybean transportation costs declined late in 2025, but the improvement has not translated into stronger export performance, particularly in key markets like China.

According to USDA data, lower truck and barge rates helped reduce total transportation costs for U.S. soybeans during the fourth quarter, easing some pressure on export competitiveness. However, rising ocean freight rates offset part of those gains, limiting the overall impact on landed costs.

At the same time, Brazil saw sharply higher transportation costs — especially for trucking — yet continued to expand its dominance in global soybean trade. Brazil exported 12.8 million metric tons of soybeans to China in the fourth quarter of 2025, up significantly from the previous year, while U.S. exports to China dropped to just 1.44 million metric tons.

The divergence highlights a broader shift. Even as U.S. logistics costs improved modestly, global buyers continued to source from Brazil, where scale, timing, and established trade flows outweighed rising transportation costs.

Looking ahead, USDA projects U.S. soybean exports to decline in the current marketing year, while Brazil’s exports are expected to increase further, reinforcing the competitive gap between the two suppliers.

Farm-Level Takeaway: Lower shipping costs alone will not restore export competitiveness.
Tony St. James, RFD NEWS Markets Specialist
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Tony St. James joined the RFD-TV talent team in August 2024, bringing a wealth of experience and a fresh perspective to RFD-TV and Rural Radio Channel 147 Sirius XM. In addition to his role as Market Specialist (collaborating with Scott “The Cow Guy” Shellady to provide radio and TV audiences with the latest updates on ag commodity markets), he hosts “Rural America Live” and serves as talent for trade shows.

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