SAO PAULO (Reuters) - Brazilian pork producers may benefit from the possible imposition by China of an additional levy on imports from the United States, local trade group ABPA said in a statement on Friday.
ABPA, an association of Brazilian animal protein processors, said China’s Ministry of Commerce may increase import duties on U.S. pork to 25 percent.
Chinese buyers of Brazilian pork meat have been increasing orders to domestic suppliers since January, ABPA said. In the first two months of the year, pork exports from Brazil to China rose 140 percent to 25,500 tonnes, ABPA said.
“In February, China became the top buyer of Brazil’s pork meat,” said ABPA, adding this partly compensated Brazilian producers from a Russian embargo on their pork exports.
If China’s Ministry of Commerce confirms additional import duties on U.S. pork, Brazil’s sales to that country may significantly increase, the statement noted.
The United States exported 275,000 tonnes of fresh pork to China last year, generating $488 million in sales, ABPA said citing data from Trademap.
Brazil exported 48,900 tonnes of pork to China in the period and generated sales of about $100 million, the group said.
Reporting by Ana Mano; Editing by Marcelo Teixeira and Bernadette Baum