Australia demands China respect trade deal after shock beef tariffs
Australia’s trade and agriculture ministers have condemned China’s decision to impose new tariffs that could cost the beef industry $1 billion a year.
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Australia’s trade and agriculture ministers have condemned China’s shock decision to impose new tariffs that could cost the beef industry $1 billion a year.
China, the world’s biggest importer of beef, overnight set the new import duties of 55 per cent above a certain quota to protect its local farmers from international competition of major export nations including Argentina, Brazil and Australia.
The new Chinese import quotas are a blow to Australian beef exporters.Credit: Bloomberg
Trade Minister Don Farrell said the government had told China the move to curb Australian exports was unnecessary.
“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,” Farrell said.
Agriculture Minister Julie Collins said she had “serious concerns with this decision by China”.
“The Albanese government is working closely with the Australian beef industry to determine the full implications of this measure.”
Australia’s beef exports to China are worth about $3 billion annually, and the industry said farmers were bracing for an annual hit on China trade worth $1 billion a year.
The new tariffs will apply to all imports into China, from any country, once China receives its annual quota of 2.7 million tonnes of beef imports.
‘This decision will have a severe impact on trade flows to China over the duration of the measures’ enforcement.’
Tim Ryan, Australian Meat Industry Council chief executive officer
Prime Minister Anthony Albanese on Thursday was more circumspect than his ministers, saying Australia had not been singled out by China, and added he was optimistic about the beef industry’s prospects in new markets.
“This is an announcement that is across the board,” Albanese said.
“Australian beef is in my view, proudly as the prime minister, the best in the world. Our products are in great demand right around the world, and we expect to continue.”
China imported 2.9 million tonnes of beef in 2024. Australian exports comprised 8 per cent, while 80 per cent of beef imported into China came from South America.