The Chinese market showed very limited activity in recent days due to the Labor Day holidays, which lasted through Tuesday, May 5. A Brazilian exporter told World Beef Report (WBR) that the Chinese market remains very quiet, with little commercial activity in recent weeks and operators focused on fulfilling previously agreed commitments.

A Brazilian trader estimated that the last within-quota shipments from Brazil will take place in late May or early June at the latest. The source dismissed rumors of a possible change in the way the quota is calculated (see Asia section). “The Chinese are not going to change anything. That is pure rumor,” he said.

The United States Department of Agriculture (USDA) reported that fresh beef imports from Brazil, Argentina and Uruguay increased 36% year-on-year through April 25.

“The United States and Canada are very quiet,” commented a Chilean exporter, although Canada has shown a somewhat higher level of activity. As a reference, he mentioned values around US$/t 7,550 for Canadian 90 CL, while 80 CL is trading around US$/t 6,000 CFR.

Most Argentine exporters have already exhausted or are close to exhausting their Hilton quota for the 2025/26 cycle, which ends on June 30. In this context, rump & loin deals outside quota last week were closed around US$/t 16,800-17,300 FOB, equivalent to approximately US$/t 22,500-23,000 FOB within the Hilton quota.

Year 0 of the new Mercosur-European Union beef quota is already underway. In calendar year 2026 (May-December), there will be an available quota of 6,050 tons carcass weight of chilled beef and 4,950 tons of frozen beef (11,000 tons in total), allocated on a first come, first served basis.

The MENA region has lost relevance for Brazil due to the war, with Iran having practically disappeared from the market. Nevertheless, as an important alternative market, one trader highlighted Algeria.

An exporter described a Chilean market with firm prices, but undergoing an important change in commercial dynamics, especially regarding financing conditions.

After two weeks of correction, the average cattle value in the region trended upward, driven by exchange rate appreciation in Brazil and Argentina and higher references in Paraguay and Uruguay.

The associations ABPA and Abiec requested that the Brazilian government include the meat export sector in the support credit lines of the Plano Brasil Soberano, recently expanded with R$ 15 billion to mitigate the impacts of the war in the Middle East, according to Globo Rural.

The price gap between the finished male and cow widened in April in Brazil, driven by a stronger appreciation in male cattle prices, according to Cepea.

Marfrig and BRF finalized the investment agreement with Saudi Arabia’s HPDC, a subsidiary of the sovereign wealth fund Public Investment Fund (PIF), to develop the halal business in the Middle East.

Slaughter cattle prices fell for the second consecutive week, pressured by cautious demand and a supply that has started to increase.

The sharp drop in production caused a collapse in Uruguay’s beef exports. Export request data released by Customs for April showed the lowest volume since January 2020, more than six years ago.

The decline in volume was partially offset by the increase in the average export value. For the first time in history, Uruguayan beef exports exceeded US$ 8,000 per ton shipment weight.

The drop in production did not prevent exports to China from increasing. China is once again consolidating its position as the leading destination for Uruguayan beef exports, overtaking the United States, which had gained importance last year.

Beef exports to European Union member countries are running significantly below last year’s pace. According to Customs data based on export requests, shipments totaled 10,574 tons through April, down 29% from the same months of 2025.

A decree signed by President Yamandú Orsi and Agriculture Minister Alfredo Fratti updates the regulatory framework for the detection and control of “veterinary drug residues, pesticides and environmental contaminants” in products of animal origin.

The main cuts traditionally consumed during the May 1 holiday enjoyed extraordinary demand and virtually no inventories remained, leading butcher shops and supermarkets to request additional product as early as Saturday, May 2, to supply consumers over the weekend.

Although there are expectations that the upward trend in prices may begin to slow, limited supply means that buying interest — while not particularly aggressive — remains sufficient to keep the market under pressure.

Cattle slaughter in April totaled just 130,357 head, the lowest monthly figure since September 2023 and the lowest for April so far this century. In April 2025, 213,477 cattle had been processed, meaning a year-on-year decline of 39%.

Despite minimal demand, prices for the different sheep categories remain firm and trending upward. Lambs reached a historic reference of US$ 6.00 per kg carcass weight, while mutton are quoted around US$ 5.00.

Unlike previous years, with two months remaining before the end of the 2025/26 quota cycle, Argentina had already executed 27,774 tons of the Hilton quota to the European Union, equivalent to 94.5% of the total allocation.

The tour organized by the Argentine government together with the IPCVA in the United States took place at the ideal moment and left participating companies satisfied, according to firms consulted by World Beef Report (WBR).

As of April 30, Argentina had executed 30,790 tons of the 2026 US beef tariff quota, which totals 100,000 tons, for a value of US$ 259.5 million.

Export cattle values generally remained within the ranges seen the previous week. British-breed cross steers, with better beef quality, continued trading between Ar$ 7,900 and 8,200 per kg carcass weight, while zebu-cross steers remained between Ar$ 7,800 and 8,000.

The sharp reduction in cattle demand from export processors caused slaughter activity to collapse in April.

According to Senacsa data, export plants slaughtered 105,315 cattle, nearly 55,000 head fewer than in March and 66,000 below April 2025.

Paraguayan beef exports declined 25% year-on-year in the first four months of the year, in line with the 24% annual drop in slaughter.

The need to increase operating pace due to the resumption of kosher slaughter, along with weather-related complications caused by excessive rainfall, provided strong support for cattle prices for immediate delivery.

The traditional price differential between Choice and Select beef in the United States —historically a key indicator of quality and supply dynamics— is showing atypical behavior and, according to some analysts, may no longer be as relevant a benchmark as in the past. This is highlighted in a recent analysis by Beef Magazine.

The US government launched an investigation into elevated beef, pork and poultry prices, focusing on the sector’s level of concentration. White House economic adviser Peter Navarro said that major companies could be influencing price formation amid suspicions of cartel practices.

Falling beef production and record-high prices are driving stronger demand for ground beef, which continues to gain share within total consumption, according to analyst Derrell Peel.

The recovery of the US beef cow herd is progressing slowly, constrained by widespread drought and high input costs, despite strong profitability signals.

According to CattleFax analyst Holden Ramey, about 75% of the US beef cow herd is currently in drought conditions—well above historical averages—limiting heifer retention and delaying herd expansion.

The need to increase purchases in the spot market pushed cash cattle prices sharply higher last week. Live sales ranged from US$/cwt 250 to 256, with most transactions around US$/cwt 255, while dressed prices moved between US$/cwt 398 and 405, with the bulk at US$/cwt 400. Weekly gains reached US$/cwt 9 for live cattle and US$/cwt 17 for dressed.

Import beef prices in the USA were mostly steady to firm compared to the previous market test, with isolated instances slightly lower.

Australian beef exports reached 140,943 tons in April, up 11% year-on-year, with the United States and China leading demand. Volumes remained close to March levels, one of the highest on record.

Indonesia approved market access for five Australian meat export establishments, as announced on May 2 by Agriculture Minister Julie Collins. The plants, located in Queensland, Victoria, and Tasmania, received clearance effective May 1, 2026. One establishment also obtained approval for sheep and goat meat.

Rumors about a possible change in criteria by Chinese Customs when determining the accounting period for 2026 quotas are generating different speculations in the meat market. A Chilean exporter told World Beef Report (WBR) that the market is closely monitoring a “possible change in the accounting criteria” for China’s 2026 quota, which could have a significant impact on supply dynamics.

In an interview with World Beef Report (WBR), Francisco Roque de Pinho, co-founder of The Land Group, reviews the origins of the company and details the business model that led them to manage 140,000 hectares across four countries through a regenerative agriculture approach.