Brazil beef companies could each ship at least 8,000 metric tons annually to China, document shows

By Ana Mano

SAO PAULO, Feb 19 (Reuters) – Brazil’s government could back a plan that would allow individual beef exporters to each ship at least 8,000 metric tons of products to China per year, according to a legal opinion seen by Reuters.

The South American country’s beef sector was left scrambling after Beijing imposed an extra 55% tariff on beef exports that exceeded quota levels from key suppliers like Brazil.

The measure, which also affects exporters like Australia and the United States, took effect from January 1 and will last for three years.

“There will be… a minimum quota of 8,000 tons per year per company, to make exports viable for smaller meat processing plants,” law firm Barral Parente Pinheiro said in a legal opinion issued on February 5 on behalf of industry group ABIEC, which backs the introduction of individual quotas.

The total Chinese import quota for 2026 for countries covered under its new “safeguard measures” is 2.7 million tons, roughly in line with the record 2.87 million tons it imported overall in 2024.

As per Beijing’s announcement, Brazil’s import quota will be 1.106 million tons in 2026, 1.128 million tons in 2027 and 1.151 million tons in 2028.

Brazil’s government could also create a technical reserve to accommodate beef exporters that were not eligible to export to China last year but could be this year, the opinion said.

“The technical reserve comprises 3% of 1.1 million tons, equivalent to 33,000 tons, and is intended for new exporters who did not export in 2025 but are authorized to export in 2026,” Barral Parente Pinheiro said in its opinion.

The legal opinion also includes a mechanism to increase the companies’ individual quotas in the event that other exporters are unable to fulfill shipments.

Last week, an Agriculture Ministry official said the government planned to assign export quotas for individual beef exporters to regulate shipments.

The plan, which counts on wide but not unanimous support from the industry, must be approved at Brazil’s Foreign Trade Chamber (CAMEX).

Regulating shipments would avoid Brazilian exporters rushing to sell beef to China, according to a memo signed by Luis Rua, foreign trade secretary at the Agriculture Ministry, which was forwarded to CAMEX on February 6.

Individual company quotas for beef shipments in 2026 should reflect the volumes exported by the individual companies in 2025, the legal opinion added.

“From 2027 onwards, the quota will be calculated based on a two-year moving average of the volumes actually exported, promoting gradual adaptation and long-term stability,” the document said.

ABIEC declined to comment.

(Reporting by Ana Mano; Editing by Aurora Ellis)