China's New Beef Tariff Could Cost Australian Industry $1 Billion
China's New Beef Tariff Could Cost Australian Industry $1 Billion

China has announced a new 55 per cent tariff on beef imports that exceed quota levels from several countries, including Australia, prompting strong criticism from the Australian Meat Industry Council (AMIC). The measures, effective from January 1, 2026, for three years, are designed to protect China's domestic cattle industry, which has been struggling with oversupply.

AMIC chief executive Tim Ryan said the new trade arrangements were restrictive and not reflective of the long-standing trade relationship between Australia and China. 'This decision appears to reward other countries who have surged the volume of beef exported to the Chinese market in recent years,' Mr Ryan said.

Australia exported more than 295,000 tons of beef to China in the first 11 months of 2025. AMIC estimates the tariff will cut those exports by a third, costing the Australian industry about $1 billion. Australia faces a quota of about 200,000 tons, with any additional imports subject to the 55 per cent levy.

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China's commerce ministry said the total import quota for 2026 for countries covered under the safeguard measures is 2.7 million metric tons, roughly in line with the record 2.87 million tons imported overall in 2024. The ministry also suspended part of a free trade agreement with Australia covering beef.

Brazil, the world's largest meat exporter, said it would work with China to mitigate the impact of the measures, both bilaterally and through the World Trade Organization framework. Other countries affected include the United States, Uruguay, and New Zealand.

AMIC said it would make strong representations to the Australian and Chinese governments regarding the 'severe and unnecessary impact' of the new measures. The industry body is reviewing the announcement in detail.

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