OR Brazil and the Argentina It turns out to be the first winners in the World Trade War to emit after Trump’s duties.

The escalation of tensions between the US and China – The largest supplier and consumer of agricultural products in the world, respectively – created an opening, a golden opportunity for South America nations to increase their exports, from meat to cereals, in an effort to gain their own share of the world market.

The newest opportunity seems to be meat. The US President Donald Trump duties In eight of the top 10 America’s beef buyers have already reduced trade flows, increasing beef exports from Brazil to many markets, including those of Algeria and Turkey. Japan, also the second largest beef client in America, is now in advanced talks to start buying cheaper meat than Brazil.

And any financial deceleration caused by the trade war will push other international beef buyers to turn their purchases to lower cost suppliers, especially in Brazil, according to Datagro market analyst Guilherme Jank.

China ordered a huge amount of soy from Brazil in April and recently reached an agreement to restart the Poultry missions from Argentina. OR China It also opened its market in Argentina corn.

Increasing missions to Europe is also a possibility, as talks on a commercial agreement between Mercosur – South America’s trade block – and its European Union They are increasingly gaining dynamic, according to Markos Jank, professor of world agricultural businesses at Insper.

Argentine Sorgos producers can also benefit from the highest prices, as there are not many alternative cereals used in feed. China is the world’s top buyer and the US is the leading supplier.

If commercial restrictions continue until autumn, when the US begins the harvest of soy and corn, South America’s grain producers will have another opportunity to offer alternative supplies.

However, price instability in agricultural markets remains a risk to all exporters. While natural premiums for soybeans in Brazil and Argentina initially increased with the announcements of duties, for example, a global recession would probably reduce demand and push the prices of future fulfillment.