(Yicai) Dec. 30 -- China’s Ministry of Commerce has started an investigation into imported beef after receiving an application for safeguards, which is a temporary import restriction, from industry bodies in response to a sharp increase in beef imports since 2019 that they claim has had a significant adverse impact on China’s beef industry.

An "Application for Investigation of Beef Safeguarding Measures" was recently submitted by the China Animal Agriculture Association as well as associations from nine major beef producing areas in protest at the runaway imports in recent years which are affecting the country’s beef producers, a ministry spokesperson said.

China's beef imports more than doubled in the first half from the same period in 2019, the spokesperson said, citing evidence submitted by the applicants. And imports surged 65 percent over the four years from 2019 to 2023.

In addition, beef imports climbed to 31 percent of China’s market share in the first half from 20.6 percent in 2019, while the proportion of China's total production soared to 43.9 percent from 24.9 percent, the spokesperson said.

The probe, which started on Dec. 27, covers the period from Jan. 1, 2019 to June 30, 2024 and focuses on beef products from live cattle that have been slaughtered and processed, including fresh, cold or frozen whole and half heads of beef, bone-in beef and boneless beef.

World Trade Organization members can initiate safeguards in the event of a sharp jump in imports that causes, or threatens to cause, serious damage to a domestic industry that produces a similar product, Li Siqi, associate professor at the University of International Business and Economics’ China Institute of WTO Studies, told Yicai. The purpose is to protect Chinese businesses from damage caused by a leap in imports and help them adjust during the implementation of safeguarding measures.

This investigation normally takes eight months but can be extended under special circumstances, the spokesperson said. The probe is not aimed at specific countries and regions, does not distinguish between the origin of products and does not affect normal trade during the investigation period, he added.

China imported 93.7 percent of its beef from six countries, namely Brazil, Argentina, Uruguay, Australia, New Zealand and the US, in the first half of 2023, according to the safeguard application. Brazil accounted for almost half of this at 43 percent, followed by Argentina at 19.2 percent, Uruguay at 10 percent, Australia at 8.2 percent, New Zealand at 7.5 percent and the US at 5.7 percent.

Editor: Kim Taylor