Australia’s government is “disappointed” with China’s decision to impose new beef import tariffs, with one industry group warning the move could damage trade worth over A$1 billion between the two countries.
China announced on Wednesday that it would impose additional 55 percent tariffs on some beef imports from countries including Brazil, Australia and the US that exceed a certain quantity for the next three years.
The country also said it would suspend part of a free-trade agreement with Australia covering beef to temporarily help the domestic industry get through difficulties.
Photo: Adek Berry, AFP
“We are disappointed by this decision,” Australian Minister for Trade and Tourism Don Farrell said in a statement yesterday.
“We have made it clear to China that Australian beef is not a risk to their beef sector, and that we expect our status as a valued free-trade agreement partner to be respected.”
“Our beef is world-class and high in demand, and we will continue to advocate for and support our beef industry.”
China is Australia’s second-most lucrative beef export market, behind the US. Under the new rules, Australia faces a quota of around 200,000 tonnes for this year and the US one of 164,000 tonnes.
The tariffs follow China’s beef price trending downwards in recent years, with analysts blaming oversupply and a lack of demand as the world’s second-largest economy has slowed.
At the same time, Chinese beef imports from countries such as Brazil, Argentina and Australia have surged.
Investigators found that beef imports had damaged China’s domestic industry, the Chinese Ministry of Commerce said in a statement on Wednesday. The probe covered fresh, frozen, bone-in and boneless beef.
The extra tariffs apply for three years — until Dec. 31, 2028.
The ministry described the levies as “safeguards” and said they would be gradually relaxed.
The Australian Meat Industry Council said in a statement that the new restrictions had the “potential to reduce Australian beef exports to China by about one-third compared to the last twelve months — trade worth over A$1 billion.”
The council’s executive officer Tim Ryan warned the tariffs would have a “severe impact” on trade flows to China and “restrict the ability for Chinese consumers to access safe and reliable Australian beef.”
Brazil, the world’s largest meat exporter, said on Wednesday that it intended to “work with the Chinese government, both bilaterally and within the WTO framework, to mitigate the impact” of the new measure.
The foreign ministry in Brasilia said in a statement that Brazil was the main supplier of beef to China, which accounted for 52 percent of the South American country’s foreign sales of the commodity in 2024.
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