A version of this article was published on The DCN website.
The announcement by the Chinese government on 1 January 2026, that it was imposing new import quota limits on imports of beef into China, differs from the previous ban on imports of Australia’s exports of beef into China. However, it could impose restraints on Australian beef exports and create additional pressure to complete a free trade agreement (FTA) with the European Union (EU). Even so, there remains a significant threat to Australian beef exports.
In 2020, China imposed $20 billion of trade sanctions on imports of Australian goods into China as a political response against the (then) Morrison government, with bans on barley, wine, lobster, timber, major beef exporters, timber and cotton. At that stage, China cited labelling and health certificate requirements as reasons for the beef bans and claimed biosecurity issues were the reason for the lobster, cotton, barley, and timber restrictions. However, it was largely accepted that the measures were a response to the call by the former Prime Minister for an independent investigation into China’s role in the coronavirus pandemic. The restrictions were progressively removed between 2023 and 2025 as the political relationship between China and Australia was perceived to have improved with the advent of the Albanese federal government. The restrictions were imposed notwithstanding the terms of the China – Australia Free Trade Agreement (ChAFTA).
The new measures will apply the higher tariff to imports of over 2.7 tonnes of beef imported into China from any country, compared to the quota limit of 2.9 million tonnes of imported beef in 2024. Australian exporters believe that it could reduce its exports by $1 billion a year and could confer priority on other countries, such as Brazil, which could act more quickly and have their exports in place before the quota takes effect.
The new measures impose 55% import duty on imports of beef from any country above the nominated quota, ostensibly to protect local Chinese farmers from significant imports from a range of major export nations, including Argentina, Brazil and Australia. In this case, the basis for the new arrangements came after a 12-month investigation by Chinese authorities into the impact of higher beef imports and is intended to ‘safeguard’ local production against being overwhelmed by such increased imports. The imposition of safeguard measures is permitted by World Trade Organisation (WTO) Agreements and by ChAFTA so long as certain procedures are followed. Several Australian Ministers (including the Prime Minister) have already expressed concerns, as have representatives of the beef exporting industry.
We can expect significant political and legal responses to the new measures. This could include WTO action under ChAFTA, which may yet be resolved through negotiations. Importantly, it places additional pressure on negotiations for the FTA with the EU as a new market for Australian beef exports.
Contact us
If you would like to find out more information about the recently imposed quota limits on beef imported into China and the potential impact on Australian beef exports, please contact a member of our Customs & Trade team.
| Disclaimer: This publication contains comments of a general nature only and is provided as an information service. It is not intended to be relied upon, nor is it a substitute for specific professional advice. No responsibility can be accepted by Rigby Cooke Lawyers or the authors for loss occasioned to any person doing anything as a result of any material in this publication.
Liability limited by a scheme approved under Professional Standards Legislation. © 2026 Rigby Cooke Lawyers |