China vowed to conduct a “fair and objective” investigation into beef imports during a hearing this week, as global suppliers brace for potential tariffs or quotas aimed at protecting its domestic industry. The probe, launched in December 2023, covers all imported beef amid a supply glut and slowing demand in the world’s largest beef market.
Key Developments:
Hearing Participation: Representatives from top suppliers—Argentina, Australia, Brazil, Uruguay, and the U.S.—joined Chinese officials, importers, and domestic producers in Beijing to address concerns.
Record Imports: China imported 2.87 million tons of beef in 2024, with Brazil alone supplying 1.3 million tons.
Trade War Context: The review coincides with escalating U.S.-China tensions, as Trump prepares to announce new tariffs on Wednesday, following March’s retaliatory measures.
Supplier Concerns:
U.S. Challenges: American exporters face a 10% retaliatory tariff and expired facility registrations, halting post-March 16 shipments. The U.S. Meat Export Federation argues its premium beef doesn’t compete with cheaper domestic products.
Brazilian Disruptions: Three Brazilian plants, including JBS, were temporarily suspended by Chinese customs, though industry group ABIEC expects resolutions this month.
Next Steps:
Chinese officials will visit exporting countries in May to continue the investigation, which could last eight months or longer. The outcome risks reshaping global beef trade flows, particularly if tariffs or quotas are imposed.