TARIFFS or no tariffs US pork sales in China are back to pre-trade war levels because of African swine fever sweeping through Chinese piggeries, reports Bloomberg
TARIFFS or no tariffs US pork sales in China are back to pre-trade war levels because of African swine fever sweeping through Chinese piggeries, reports Bloomberg. China continues to be the third biggest buyer of pork according to the US Department of Agriculture weekly data released Thursday.
The 3,300-tonne purchase was the most since February, a month before China imposed tariffs on US pork. Hog futures rose 4.4 per cent in Chicago, the most in two weeks.
'This is a game changer,' said Archer Financial Services spokesman Dennis Smith. 'It gives confirmation that the disease is far worse than what we've been told.'
Outbreaks of African swine fever have been reported at farms in 20 Chinese provinces since August, with about 600,000 hogs culled. But until now, the country has abstained from upping its imports from the US.
The US also reported sales of another 9,400 tons to China in 2019. Some cuts are dirt cheap due to a pileup of domestic supplies, with wholesale loins for example at the lowest price since 2002. 'When they see a staple of their diet on sale,' they're going to start buying it, Mr Smith said.
WORLD SHIPPING
