American Beef Disappears from Beijing's Menus Amid Trade Tensions

In Beijing, American-style dining establishments are facing significant changes as a result of the ongoing trade conflict between the United States and China. Home Plate BBQ, a popular restaurant known for its southern-style barbecue, is in the process of updating its menu to reflect the absence of U.S. beef, which was once a key ingredient.

Due to steep tariffs imposed by the Chinese government, American beef has become prohibitively expensive. Previously, the restaurant sourced all its beef from the U.S., but with the current trade situation, it is shifting to Australian beef. Home Plate BBQ utilizes approximately 7 to 8 tonnes of brisket each month, and once its existing U.S. beef supply runs out, it will exclusively offer Australian products.

This shift is not an isolated incident but rather a trend observed across various American-themed restaurants in Beijing. A supplier of beef in the capital noted that many establishments are compelled to turn to Australian beef due to the financial pressures exacerbated by tariffs. The U.S. beef market was already experiencing price increases due to previous supply shortages resulting from adverse weather conditions, and the added tariffs have further escalated costs, leading to a dramatic rise in prices.

Before the trade conflict, U.S. beef was already expensive. The combination of a 125% retaliatory tariff in addition to a pre-existing 22% tariff has rendered it nearly unaffordable for many restaurants. According to an operations director at Home Plate, the financial strain of using U.S. beef has made it unsustainable for their business.

As a result, the restaurant is now sourcing pork ribs from Canada and expects to introduce Australian beef ribs, brisket, and sausages to its menu by May. Testing has shown that the flavor and quality of Australian beef meet the expectations of their clientele, leading to a positive reception among diners.

The U.S. beef export market to China, valued at approximately $125 million monthly, represents only a fraction of the broader trade relationship between the two nations. However, the move away from U.S. beef highlights the impact of trade tensions on consumer choices and restaurant offerings. The transition to Australian beef, which is reportedly 40% cheaper, reflects the broader economic realities faced by businesses operating in an increasingly competitive environment.

As the trade war continues to evolve, the future of many products on both sides of the Pacific remains uncertain. The experience of Home Plate BBQ serves as a case study for the wider implications of the trade conflict, as restaurants adapt to new sourcing strategies in response to changing market conditions.