Tariffs war halts US beef exports to China as Australia fills the gap
About 300 abattoirs in the United States still have not had their export licences renewed to export beef to China — and it seems Australia is filling the gap.
Before Donald Trump's "Liberation Day" tariff hikes, American beef exporters were already facing problems with their third-largest market.
According to the US Meat Export Federation, American pork and poultry plants had their export registrations with China renewed on March 16, but China "had still not renewed the eligibility of any US beef establishments".
"The majority of US beef production is now ineligible for China," it said.
"This impasse definitely hit our March beef shipments harder and the severe impact will continue until China lives up to its commitments under the Phase One Economic and Trade Agreement."
While some US beef has trickled into China in the past few weeks, ABC Landline has been told the trade has now ground to a halt — especially after China announced retaliation tariffs.
In 2024, the United States exported $US1.6 billion ($A2.57 billion) worth of beef to China, making it the third-largest export destination.
Australian grain-fed beef in demand
Statistics from Meat and Livestock Australia (MLA) show Australian grain-fed beef exports to China have ramped up significantly, with 21,885 tonnes shipped in February and March — up nearly 40 per cent on the same period last year.
Speaking at a meat processing industry conference on the Gold Coast this week, Bindaree Food Group's Andrew Simpson said the trade war was creating indirect opportunities.
"If there's a tit-for-tat around the globe and countries like Japan or China push up reciprocal tariffs, it may prevent American beef becoming commercially viable into those regions [and] Australian beef will fill the gap, which could present a short-term opportunity," he said.
Global meat analyst Brett Stuart said Australia would be a clear winner going forward.
"Australia is now the lone supplier of high-quality white fat marbled beef into China," he said.
"[US beef] sales to China have fallen to zero … and not only is the market now closed based on the March 16 production date, but the combined retaliation tariffs by China now take the tariff on US beef to 116 per cent, a level that will quickly halt trade."
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