Brazil produced a file quantity of beef in 2024, and is the world’s largest exporter, sending 2.5 million tonnes abroad final yr. In 2024, the US was Brazil’s second largest beef market, importing a file quantity, rising the amount by almost 50 % from the earlier yr and taking greater than 30 % of all Brazilian exported beef. This yr, Brazil stuffed its tariff free beef quota into the US in simply 17 days and has at the moment despatched 103 % extra beef to the US than on the identical time in 2024.
For the yr up to now, the US has imported 17.7 % extra beef altogether than the identical time in 2024, with Australia being by far the largest provider. Whereas Brazil overtook the primary spot for a couple of months in the beginning of the yr, and has the largest yr on yr improve, Australia has now despatched 27 % extra beef to the US for the yr than Brazil and elevated their export quantity by 30 % yr on yr.
The reason is, after all, is tariffs. The introduction of 10 % in April added solely that quantity to Australian beef that was beforehand getting into the US tariff free, whereas out of quota Brazilian beef was already tariffed at 26 %, taking it to 36 %. As issues stand at the moment, that extra 10 % tariff will rise to 50 % as of the first of August, taking it to 76 %.
The Brazilian Affiliation of Meatpackers (Abrafrigo) has mentioned the cattle trade in Brazil faces losses of round US 1.3 billion {dollars} if the tariff is carried out, and a few processors have already suspended shipments to the US. The Steiner Consulting Group’s newest US imported beef report says there shall be no demand for Brazilian beef at that value level.
China stays Brazil’s greatest market, having despatched 59 % of all its beef exports there in 2024 and making up 47 % of all Chinese language imported beef. This was a file quantity of 1.3 million tonnes, surpassing the earlier prime quantity despatched in 2022 by almost 7 %. Brazil’s Secretariat of Overseas Commerce knowledge confirmed yr to June beef exports to China up 12 % yr on yr, important however nonetheless much less tonnes than the rise to the US.
