China opposes all forms of unilateral restrictive measures.
At a regular press conference held today, a reporter referenced reports that the U.S. Department of Commerce, as of May 31 local time, had initiated actions to close a so-called year-long "regulatory loophole." This loophole was said to have potentially allowed several companies to export advanced chips to Chinese entities located outside China.
Spokesperson He Yongqian stated that China has noted the relevant situation. In recent years, the U.S. has repeatedly abused export controls under the pretext of national security, which severely infringes upon the legitimate rights and interests of Chinese enterprises, undermines international economic and trade order, and disrupts the stability of the global semiconductor industry and supply chains. China consistently opposes such actions. China urges the U.S. to promptly correct its erroneous practices, cease discriminatory measures against China, and safeguard the stability of global industrial and supply chains.
Furthermore, in response to a question regarding "U.S. proposals to impose additional tariffs on so-called forced labor economies," He Yongqian stated that China's position on the Section 301 investigation is consistent. China opposes all forms of unilateral restrictive measures, including a series of trade restrictions imposed on China under the pretext of "forced labor," a stance China has repeatedly expressed in clear terms. China urges the U.S. to move in the same direction as China to jointly uphold the stability of China-U.S. economic and trade relations.
Regarding a question on "the U.S. Trade Representative stating it is considering tariff reductions on specific non-sensitive products between China and the U.S.," He Yongqian responded that based on the consensus from previous economic and trade consultations, both sides agreed to establish a trade council to discuss a framework for reciprocal tariff reductions on products of comparable scale under the council. China believes this arrangement would be a correct step for the U.S. in its tariff policy towards China and holds positive significance for stabilizing and expanding bilateral trade. The economic and trade teams of both sides will maintain close communication to finalize specific arrangements and promote their implementation as soon as possible.
Australian Beef Imports Reach 90% of Annual Country-Specific Quota
According to a June 1 announcement from the Ministry of Commerce, the import volume of Australian beef has reached 90% of its annual country-specific quota as of June 1.
He Yongqian explained that the Ministry of Commerce announced safeguard measures on imported beef effective December 31, 2025, in the form of "country-specific quotas and additional tariffs on imports beyond the quota." Starting from the third day (inclusive) when a country's beef import volume reaches its annual quota, importers will be required to pay an additional 55% tariff on top of the current applicable tariff rate when importing beef. To enhance transparency in implementing the measures, the Ministry of Commerce and the General Administration of Customs will issue relevant notifications when a country's import volume reaches a certain percentage of its annual quota and when the quota is fully met.
He Yongqian emphasized that the safeguard measures on imported beef are intended to help the domestic industry overcome difficulties on a temporary basis, not to restrict normal beef trade. The Chinese market remains open, and China is willing to work with all parties to jointly maintain a stable and healthy international trade environment.
In recent years, China's beef imports have shown a sharp upward trend. Data from the Ministry of Commerce indicates that from 2019 to 2024, beef import volume surged from 1.66 million tons to 2.87 million tons, an increase of 73.2%. Concurrently, as import prices were over 50% lower than domestic industry prices, the market share of imports expanded from 20% to 31%, causing significant impact on the domestic beef cattle industry. Due to this impact, China's beef cattle farming industry has experienced industry-wide losses since 2023. A large number of breeding cows have been slaughtered, with the inventory of breeding cows declining by approximately 3% in 2024, severely undermining the industry's foundation. Both the upstream forage industry and downstream slaughtering and processing enterprises have seen widespread losses, challenging the healthy development of the industrial chain.
Liu Qiangde, Deputy Secretary-General of the China Animal Agriculture Association, commented that the safeguard measures are expected to provide a positive boost to the entire industry's market conditions, effectively boosting confidence among practitioners to return to or expand production. Although substantive industry recovery will still take time, this move will lay the groundwork for rebuilding confidence and restoring capacity.
Progress in China-Brazil Agricultural Trade
According to the Ministry of Commerce, on June 1, Minister of Commerce Wang Wentao met with Brazilian Foreign Minister Mauro Vieira in Beijing. The two sides exchanged views on China-Brazil economic and trade relations and cooperation within multilateral frameworks.
Wang Wentao stated that China and Brazil are the largest developing countries and important emerging markets in the Eastern and Western Hemispheres respectively. Under the strategic guidance of head-of-state diplomacy, bilateral economic and trade cooperation has maintained healthy and stable long-term development. Given the profound and complex changes in the current international landscape, as important representatives of the Global South, China and Brazil should work together to jointly address challenges. China is willing to work with Brazil to continuously strengthen strategic alignment and communication and coordination, deepen practical cooperation, jointly oppose unilateralism and protectionism, uphold the multilateral trading system and a fair and open international economic and trade order, and continue to make positive contributions to promoting global economic recovery and development.
When asked whether discussions were held with China regarding issues such as soybean inspection and safety standards, as well as beef tariff-rate quotas, and the latest progress, He Yongqian stated: "Brazil is China's largest source of imports for soybeans and beef. Since the beginning of this year, China's imports of soybeans and beef from Brazil have shown rapid growth. China is willing to maintain communication with Brazil on relevant issues to jointly promote the high-quality development of bilateral agricultural product trade."
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