WASHINGTON/BEIJING – U.S. beef exports to China have sharply declined, according to U.S. government data released on Thursday, March 27. The downturn follows Beijing’s decision to let export registrations for hundreds of U.S. meat processing facilities expire on March 16, effectively stalling shipments. The development adds fresh tension to already strained U.S.-China relations, which have deteriorated due to ongoing trade disputes and geopolitical conflicts.

Beef Sales Plunge as Export Registrations Lapse

U.S. beef export sales to China for the week ending March 20 were just 54 metric tons, a dramatic drop from the 2,000 metric tons per week recorded from mid-February through early March, according to the U.S. Department of Agriculture (USDA). The previous week also saw a sharp decline to 192 metric tons, as uncertainty over the lapsed registrations discouraged purchases.

While Beijing renewed registrations for U.S. pork and poultry processing plants, it declined to update approvals for beef facilities, raising concerns among American exporters. U.S. Meat Export Federation spokesperson Joe Schuele confirmed that Chinese buyers and U.S. exporters have become reluctant to enter deals for beef produced after the expiration date, fearing shipments could be rejected at Chinese ports.

Tit-for-Tat Tariffs and China’s Oversupply of Beef

Beyond the registration lapse, escalating trade disputes have further diminished the competitiveness of U.S. beef in the Chinese market. China has raised tariffs on U.S. meat and other goods, making them less attractive to local buyers. Meanwhile, China’s Commerce Ministry launched an investigation into surging beef imports in late 2024, citing domestic oversupply and plummeting local beef prices.

A government hearing on the issue is set for next week, where trade analysts expect China to outline potential further restrictions or tariff adjustments.

Impact on U.S. Meat Industry

The declining Chinese demand is a significant blow to major U.S. meatpackers like Tyson Foods, which are already struggling with high cattle prices due to domestic supply constraints. Altin Kalo, an agricultural economist at Steiner Consulting Group, noted that U.S. beef packers are growing increasingly anxious about the loss of access to one of their most lucrative markets.

“The packers are all concerned because, obviously, it’s a big market for U.S. beef,” Kalo said. “It’s been two weeks now where we’re basically at zero.”

Neither the USDA nor the Meat Institute, a trade group representing U.S. meat processors, has issued an official statement on the situation.

Future Outlook: Will China Resume U.S. Beef Imports?

Industry experts suggest that China’s actions could be a negotiating tactic as broader trade tensions with Washington continue to unfold. The upcoming Commerce Ministry hearing will be a key indicator of Beijing’s long-term stance on American beef imports.

For now, U.S. meat producers are bracing for continued volatility, as trade uncertainties and Chinese policy shifts threaten their global market share. Source: REUTERS