September 23, 2020
US pork exports to China surge beyond pre-trade war numbers
Panjiva, S&P Global Market Intelligence's research unit said United States pork exports to China have increased past pre-trade war numbers, led by JBS and Smithfield Foods owner WH Group, Reuters reported.
According to Panjiva, from the start of this year to August 31, JBS may have exported 370% more pork to China compared to the same period in 2017. WH Group-linked exports increased 90.1% in the same eight months this year compared to 2017.
On the other hand, Tyson Foods exported 7.3% less pork to China between January to August 2020, compared to the same period three years ago.
In April, JBS told Reuters that it reduced meat exports to emphasise domestic demand.
Elizabeth Warren and Cory Booker, Democratic US Senators asked meat firms in June about the total meat exported to China during the pandemic.
In response to the senators, JBS said its total market share of US pork exported to China is less than 10%, accounting for mostly swine feet and livers that US consumers do not prefer.
Smithfield Foods told Reuters that it did not give preference towards its overseas customers.
In the US – China Phase 1 trade deal signed earlier this year, China pledged to purchase US$36.5 billion worth of US agricultural goods. Pork is projected to help China achieve their pledge.
The US is expected to export more meat to China after China banned German pork imports recently as the latter reported African swine fever cases.
The US Department of Agriculture said frozen pork supplies in domestic cold storage facilities have hit a three month high in August.