JBS will halt the production of beef cuts destined for the Chinese market in 18 of its 34 plants authorized to export to China starting this Saturday (20), according to information released by Globo Rural this Friday (19). According to Renato Costa, CEO of Friboi, the measure is preventive and aims to avoid new shipments arriving at Chinese ports after the annual import quota has been exhausted, a situation that would imply significantly higher tariffs. After that date, the company will concentrate its efforts on logistics and shipping of already produced cargo, seeking to ensure that volumes reach their destination within the current quota. The sector's concern increased after the Chinese government reported on Thursday (18) that Australia had fully reached its annual quota of 205,000 tons of beef. As a result, Australian shipments arriving at Chinese ports from Saturday onwards will be subject to an additional 55% tax. In the Brazilian case, the import quota for 2026 is 1.1 million tons. According to official Chinese data, more than 50% of this volume had already been used by May 9th. Furthermore, the high volume of meat in transit reinforces market caution. In May alone, Brazil exported almost 154,000 tons of beef to the Asian country, increasing uncertainty about the space still available within the quota. “We are organized to, starting on the 20th, only concentrate shipments, not production. So, from the 20th onwards, we concentrate shipments, define the ports and organize the logistics, because if it arrives outside the quota, there is a very high surcharge,” stated Costa during the International Agribusiness Forum (Fiap), held in Campo Grande (MS). According to the executive, the current import tariff for Brazilian beef is 12% within the quota. If the limit is exceeded, an additional surcharge of 55% is applied, raising the total tax burden to 67%. "That really makes it unfeasible," he added.
This text was translated by machine from Brazilian Portuguese.