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 is on course to exhaust its annual beef export quota to China by September, industry researchers said on Tuesday, as the government warns that uncontrolled shipments could trigger a collapse in domestic prices and jobs in the cattle sector.

If the pace of exports recorded in January is maintained, Brazil will fill its 2026 quota of 1.106 million tonnes well before year end, according to the Centre for Advanced Studies on Applied Economics at the University of Sao Paulo, known as Cepea. In the first month of 2026 alone, Brazil shipped 119,630 tonnes of beef to China, the largest volume ever recorded for January.

China announced that imports exceeding a fixed country quota in 2026 would face a 55 per cent tariff, sharply above the standard 12 per cent rate. The measure applies to Brazil, Argentina, Uruguay and the United States. For Brazil, the ceiling was set at about 1.1 million tonnes. Shipments above that threshold risk becoming commercially unviable.

In an internal letter obtained by the Brazilian newspaper Folha de S. Paulo last week, the Ministry of Agriculture said the absence of a coordinated response could lead to “strong disorganisation of trade flows” and raise the risk of a “collapse in prices and employment” across the beef supply chain. Brasília is weighing export curbs to avert a price slump and job losses.

مقالات ذات صلة

Argentine and US officials shake hands sealing trade deal expanding beef exports to 100,000 tons.
صورة مولدة بواسطة الذكاء الاصطناعي

Argentina signs trade agreement with the United States

من إعداد الذكاء الاصطناعي صورة مولدة بواسطة الذكاء الاصطناعي

Foreign Minister Pablo Quirno announced a trade agreement between Argentina and the United States that expands the beef export quota to 100,000 tons and removes tariff barriers in key sectors. The deal aims to strengthen bilateral economic ties and could boost exports by up to $1,013 million. The agricultural sector, particularly meat exporters, hailed the pact as a major step forward.

Brazilian officials lack clarity on whether beef shipments en route to China will count against Beijing's new import quotas announced last week. The volume is small relative to 2025 exports, but the industry fears sales disruptions amid the broader safeguard measures affecting major exporters like Argentina and Australia.

من إعداد الذكاء الاصطناعي

The People's Republic of China announced safeguard measures for beef imports starting January 1, 2026, with country-specific quotas and 55% tariffs on excess volumes. These will affect Argentina, with limits of 511,000 tons in 2026, 521,000 in 2027, and 532,000 in 2028. Experts estimate the initial impact will be limited but could encourage market diversification.

US President Donald Trump announced on Monday (12) a 25% tariff on commercial transactions with countries doing business with Iran, effective immediately and impacting Brazil, a key exporter of agricultural products to Tehran. The decision comes amid violent protests in Iran, with 648 deaths recorded since December 28, escalating geopolitical tensions. The Brazilian government is awaiting details of the executive order to respond.

من إعداد الذكاء الاصطناعي

China's exports rose 5.5 percent in 2025 to US$3.77 trillion, while imports stayed flat at US$2.58 trillion, yielding a record trade surplus of US$1.19 trillion. The performance beat forecasts despite trade headwinds, fueled by diversification into markets like Asean and Africa. Officials attribute the strong results to supportive policies and the country's industrial depth.

Argentina's agroexport sector commended the progress made in 2025 under President Javier Milei's government, highlighting macroeconomic stabilization, predictability in exchange rates and inflation, and reductions in grain export duties. Gustavo Idígoras, head of CIARA and CEC, foresaw a more stable policy for 2026 benefiting agriculture. These steps produced positive signs amid a year of intense changes.

من إعداد الذكاء الاصطناعي

Delegations from Brazil and the United States met in Kuala Lumpur, Malaysia, on Monday, October 27, 2025, to begin negotiations on the 50% tariffs imposed by the US on Brazilian products. The meeting follows the encounter between Presidents Lula and Donald Trump the previous day on the sidelines of the Asean summit. The parties agreed on a meeting schedule and plan a Brazilian visit to Washington in early November.

 

 

 

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