Brazilian meatpackers suspend beef exports to the US after new tariffs
Meatpackers in Mato Grosso do Sul, Brazil, have halted beef shipments to the United States after the US government imposed an additional 50 percent tariff on Brazilian products.
The move, according to the industry, makes exports financially unfeasible, and companies are taking preventive action to avoid stockpiling meat that can no longer be sold in the US.
“This only affects the lines that were producing for the American market. If we ship now, the products will already be hit with the extra tax when they arrive,” said Alberto Sérgio Capucci, vice president of the state’s meat industry union. “It’s no longer viable.”
The state government confirmed the suspension, which impacts major companies like JBS, Minerva Foods, Naturafrig, and Agroindustrial Iguatemi.
Naturafrig said about 5 percent of its production was going to the US.
Despite the halt in exports, domestic production remains stable, and there’s no immediate threat to jobs.
Beef is one of the state’s top exports. In 2025, boneless frozen beef accounted for 45 percent of Mato Grosso do Sul’s exports to the US, generating over 142 million dollars. The figure was already high in 2024, reaching 78 million.
The Brazilian Beef Exporters Association (Abiec) confirmed a sharp drop in production for the US and said companies are shifting focus to markets where Brazil already has trade ties, especially China, Southeast Asia, and the Middle East.
State secretary Jaime Verruck warned that the new tariffs could create a domestic oversupply, pushing prices down and affecting farmers. He also stressed the urgency of a diplomatic solution to delay the tariff’s implementation, currently set for August 1.
“We have meat in storage that was supposed to go to the US, but there’s no time left. Now we’re suspending slaughter and trying to redirect production. It’s a complex and very serious situation,” he said.
The tariff also affects other key exports like honey, orange juice, tilapia fish, and cellulose.
In Mato Grosso do Sul, nearly 100 percent of tilapia exports go to the US.
While the impact is significant, analyst Fernando Henrique Iglesias says Brazil can offset some losses by expanding trade with Asia and the Middle East.
Abiec recently opened a new office in China, and Vietnam has resumed beef imports from Brazil.
The US is Brazil’s second-largest beef customer, behind only China. In 2024, the US bought 12 percent of Brazil’s beef exports, compared to 48 percent by China.
However, the cuts sent to the US are different from those sold locally, which complicates any attempt to shift excess supply to the domestic market.
Economist Aldo Barrigosse says increasing consumption in Brazil would require price adjustments and logistical changes across the supply chain.
Timestamps
00:01 - Close-up: Hanging cuts of beef in the processing area
00:04 - Medium shot: Technician working on hanging beef
00:07 - Close-up: Beef moving along the production line
00:11 - Wide shot: Overview of workers handling meat on the line
00:16 - Medium shot: Tighter angle of the same production line activity
00:24 - Alternate angle: Worker handling beef cuts
00:28 - Close-up: Worker slicing beef
00:33 - Close-up: Slicing beef directly from hanging position
00:41 - Close-up: Hanging cuts of beef
00:45 - Close-up: Packaging process begins
00:50 - Wide shot: Workers actively packaging beef
00:56 - Close-up: Packaged beef moving on conveyor
01:03 - Medium shot: Conveyor with beef packages and workers
01:09 - Close-up: Different conveyor section with packages
01:15 - High-angle shot: Factory floor and staff at work
01:20 - Medium shot: Workers monitoring conveyor from behind
01:30 - Close-up: Beef packages nearing boxing area
01:45 - Close-up: Beef being placed into boxes