China intends to impose anti-dumping measures on Brazilian chicken products, according to a statement from the Chinese commerce ministry, which concluded that imports from Brazil between 2013 and 2016 significantly harmed the domestic meat industry.
Local firms purchasing chicken products from Brazil will have to pay deposits ranging from 18.8% to 38.4% of the value of their shipments starting June 9, Reuters reported, citing the commerce ministry statement.
The ministry named 29 Brazilian companies, including C.Vale Cooperativa Agroindustrial, which will face 38.4% deposits; BRF SA at 25.3%; and JBS SA and Seara - Industria E Comercio De Produtos Agro-Pecuarios Ltda., which will be subject to 18.8% deposits.
The announcement follows China's withdrawal of import duties on U.S. broiler chickens after a WTO ruling in February. The U.S. has continued to press China to overturn its ban on other U.S. poultry products amid efforts by the two countries to address growing trade tensions.
"We're very, very concerned with those negotiations because what we don't want to see is Brazilian exporters at a disadvantage vis-a-vis other competitors that may also be in a position to export to this country," a source at the Brazilian embassy in Beijing reportedly said.
Brazilian protein industry group ABPA rejected the contention that chicken shipments hurt the Chinese industry, and characterized the imposition of tariffs as a regressive measure in Brazil-China trade relations, the newswire said in its June 8 report.
The commerce ministry could set a price floor for exports to China, Reuters said, citing an industry source, but Brazilian producers might not accept such a proposal.
