China restores US beef trade amid Trump-Xi summit, alarming Brazilian exporters

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Beijing renewed import licences for hundreds of US beef plants during US President Donald Trump’s visit to meet Chinese leader Xi Jinping. Brazil nears its annual beef export quota to China and is seeking alternative markets.

Bloomberg News reported the renewal on Thursday. The licences were restored during Trump’s visit to Beijing for talks with Xi Jinping.

China announced in December that beef imports above country-specific ceilings in 2026 would face a 55 per cent tariff, up from the standard 12 per cent rate.

The change benefits US suppliers while pressuring Brazilian producers close to their quota limits. Brasilia is exploring markets such as Vietnam and South Korea to offset potential losses.

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Illustration of Donald Trump and Xi Jinping's handshake in Beijing for Trump's state visit.
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Brazil nears China beef export quota amid tariff risks

Brazil's beef exports to China surged in January 2026, risking exhaustion of the annual quota by September. The government warns that uncontrolled shipments could trigger a domestic price collapse and job losses in the cattle sector. China has set a 55 percent tariff on imports exceeding the quota.

Brazil nears China beef export quota fill by May as prices hit record high

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As Beijing's tariff approaches, Brazil's exporters are rapidly filling their quota for beef to China, prompting South American industry to seek new buyers. The benchmark price for finished cattle tracked by the University of Sao Paulo's Centre for Advanced Studies on Applied Economics hit R$365 (US$71.57) per arroba (11.5-15kg) on Wednesday, up 12.5 per cent over the past 12 months amid a rush to ship before the quota closes. Daily average shipments reached 10,630 tonnes, 8.6 per cent above March 2025 and 40.7 per cent above the same period in 2024.

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