On June 8, China’s Ministry of Commerce (MOFCOM) announced its preliminary anti-dumping findings against imported Brazilian white meat broiler products and imposed an 18.8-38.4 percent dumping deposit on almost all Brazilian poultry imports. The probe has been ongoing since the fall of 2017. The dumping deposits will be effective beginning June 9, 2018, and will likely remain in place until MOFCOM issues a final ruling, at which point the deposits will become permanent or be removed.

Brazil is the largest broiler meat exporter to China, totaling 382,000 metric tons in 2017, accounting for 85 percent of China’s total broiler imports. The products included in the dumping deposit account for almost all of Brazil’s broiler exports to China and include chicken paws. While this preliminary ruling and dumping deposit will not completely curtail Brazil’s poultry exports to China, it will certainly increase the demand for imported white feather broiler products from other sources.

MOFCOM initially ruled that dumping has occurred in imported white broiler products originating in Brazil. The Chinese white broiler industry was substantially damaged and there was a causal relationship between dumping and substantial damage. MOFCOM also decided to implement a guarantee deposit on imported white broiler products from Brazil as temporary anti-dumping measures. According to the ruling, starting from June 9, 2018, when importing white broiler chicken products from Brazil, importers should provide China Customs with the dumping deposit (18.8 percent-38.4 percent) determined by the ruling. Click the link for the full GAIN report.