China has canceled the antidumping tariff on Brazilian chicken, as stated by the Ministries of Foreign Affairs and Development, Industry, Commerce, and Services.
The announcement revealed the tariff ended on the 17th of last month, with Brazil informed this Tuesday (27).
In 2019, China applied tariffs of 17.8% to 34.2% on Brazilian poultry. Brazil is the world’s largest poultry exporter.
Also, 14 Brazilian firms had to follow a “price commitment,” making their products less competitive.
The ministries noted that this positive move follows active discussions with Chinese officials and bilateral efforts in 2023.
Even with tariffs, Brazil’s poultry exports to China grew. In 2023, exports reached $1.61 billion, up 19.7% from 2022.
The World Trade Organization WTO permits antidumping duties to prevent undercost selling that hurts domestic markets.
The affected nation must show that its exports are fairly priced to remove such tariffs.
Background – China Removes Extra Tariff on Brazilian Chicken
China’s removal of the antidumping tariff on Brazilian chicken marks a notable victory for Brazil, emphasizing the strength of their diplomatic ties and negotiation skills.
The tariffs imposed in 2019 challenged Brazilian exporters, but experts expect their lifting to enhance Brazil’s exports and market share in China.
This action reflects China’s dedication to fair trade and openness to policy revision through dialogue.
It emphasizes the importance of global cooperation and the WTO in encouraging fair trade and diplomatic dispute resolution.