Stable prices in China, but pressure to pay less persists

Chinese demand turned more cautious late last week. A regional broker said importers again tried to push Mercosur purchase prices lower—though selling pressure was also light. Several exporters are managing stocks to lock in as many deals as possible during the upcoming SIAL Shanghai show. Reported Uruguayan sales were US$/t 3,850 CFR for bone-in brisket, US$/t 4,000 for navel plate and US$/t 5,800 for shin & shank. Industry sources told World Beef Report (WBR) of early-week business at US$/t 6,300 for shin & shank, US$/t 5,500 for regular chuck & blade, US$/t 5,700 for Angus chuck & blade and US$/t 4,500 CFR for rib plate, steady to slightly softer than a week earlier.

A Chinese agent said trading was brisk before the 1 May holiday, but outlook beyond that was uncertain.

An Argentine trader noted importers keep citing “weak domestic consumption.” While they admit conditions have improved, they say they are not yet ready to accept higher export prices—despite having done so over the past three to four weeks.

For Brazil, most forequarter deals were heard at US$/t 6,000–6,100 CFR, little changed on the week. “Given today’s feedback from Chinese buyers, it’s hard to see the forequarter back above US$/t 6,400,” one source said—though current values are about US$/t 500 higher than six weeks ago.

Argentine sources said China has sharply slowed activity and buyers are reluctant to confirm new deals, “perhaps because SIAL Shanghai is near.” Indicative prices: the six cow cuts at US$/t 5,000–5,200 and shin & shank around US$/t 6,000.

A Chilean exporter saw “calmer demand” from China, without major price erosion. Cow quarters were quoted at US$/t 4,400–4,500 CFR—about US$/t 100 below peaks 20 days ago after Trump’s tariff news.

OIG+X’s weekly report said the beef market stayed stable last week, though some cuts fell US$/t 100-200. It added that trade volume “remained slow, with only a few regular importers buying, usually in small lots.” OIG+X blamed the lack of positive signals from China’s end-consumption sector and the recent rapid fall in spot prices, which discouraged most importers from stepping up purchases. Shipments are mostly scheduled for May and June.