Photo: The Wall Street Journal
Once a staple in American-themed restaurants across China, U.S. agricultural products are quietly disappearing from kitchens and shelves. Steep tariffs, lingering trade disputes, and political uncertainty have driven up prices, forcing chefs and suppliers to turn to alternative markets like Australia, Brazil, and Russia.
The impact is not just economic—it’s reshaping what ends up on Chinese plates.
At Kunyuan, a well-known restaurant in Beijing, chef and owner Geng Xiaoyun was once proud to serve his signature salt-baked chicken feet—known in China as “phoenix talons.” These were imported exclusively from the U.S., prized for their texture and quality.
But since March 2025, the cost of American chicken feet has risen by nearly 30%, driven by retaliatory tariffs. As a result, Geng had to remove the beloved dish from the menu. He now sources from Brazil and Russia, but says nothing matches the “beautiful, spongy” quality of U.S. imports.
“Chinese chicken feet just aren’t the same,” Geng said. “I’ve kept a small stash of American ones for myself, but I hope I can serve them again soon.”
A 90-day tariff truce agreed upon by the U.S. and China in Geneva in May now appears to be unraveling. On Monday, China’s Ministry of Commerce rejected U.S. President Donald Trump’s claim that Beijing had violated the agreement. Chinese officials pointed to AI chip export restrictions imposed by Washington as evidence that the U.S. itself had undermined the deal.
The diplomatic deadlock threatens to reignite a broader trade conflict, one that’s already affecting real businesses on the ground.
Beijing’s popular barbecue spot Home Plate—long known for its U.S.-style smoked brisket and burgers—has also made a change. Staff at the restaurant confirmed that U.S. beef was removed from the menu last month, including in their signature item: “The Great American” burger, which is now made with Australian beef.
Australian meat, in contrast to U.S. imports, enters China duty-free under the China-Australia Free Trade Agreement. While China still maintains a safeguard quota on Aussie beef imports, the pricing advantage is clear.
At Sanyuanli Market, a key meat distribution hub in Beijing, Liu Li, a veteran beef supplier with 30 years of experience, has noticed the shift firsthand.
“U.S. beef is about 50% more expensive now than it was before the tariff fight,” Liu said. “It’s fattier and has better flavor, but the price is just too high for most buyers.”
According to data from China’s General Administration of Customs, imports of U.S. agricultural goods—including pork, soybeans, and beef—have seen double-digit declines year-over-year since late 2024. Meanwhile, Brazilian poultry exports to China surged over 20% in Q1 2025, while Australian beef shipments rose by more than 17%.
Restaurants across China—especially those branding themselves as international or Western-style—are recalibrating sourcing strategies. Analysts at Rabobank warn that if tariff instability continues, American farmers and exporters may permanently lose market share in China, one of the world’s largest food importers.
For now, hopes of a full resolution remain dim. Trade negotiators from both countries have expressed willingness to talk, but mutual distrust and strategic competition in sectors like technology, agriculture, and energy continue to overshadow progress.
Restaurant owners like Geng remain cautiously optimistic.
“If the politics settle down,” he said, “the price of American chicken feet will fall. But who knows what’s next?”
As tariffs continue to reshape menus and market trends, it’s clear that the global trade war has extended far beyond boardrooms—right onto dinner tables across China.