Tariff Relief Offers Breathing Room, But Challenges Remain
On May 12，2025, China and the U.S. issued the Geneva Joint Statement on Economic and Trade Talks, agreeing to significantly reduce tariffs. Within 90 days, the U.S. will lower its comprehensive tariffs on Chinese goods from 145% to 30% (including a 10% reciprocal tariff and a 20% fentanyl-related surcharge), while China will reduce tariffs on U.S. goods from 125% to 10%, retaining countermeasures against the fentanyl-linked duties.
For China’s tilapia export industry, which has struggled under 170% peak tariffs, the reduction to 55% (comprising 10% reciprocal tariff, 20% fentanyl surcharge, and 25% Section 301 tariffs) is a much-needed boost. However, despite this 90-day respite, the industry still faces multiple challenges—from export barriers to fierce competition and raw material instability.
01 Post-Tariff Adjustment: Upstream Speculation vs. Market Reality
Following the tariff adjustment, China’s tilapia upstream sector (hatcheries, farmers, and distributors) has been buzzing with speculation—“Will U.S. orders return? Will prices surge?”
However, current farm-gate prices remain largely stable:
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Hainan: Processing plants still purchase at RMB6.6/8.8 per kg (farm price: RMB6.16/8.36 per kg).
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Guangdong (Maoming, Zhanjiang): A slight increase of RMB0.11–0.22/kg, now at RMB6.93–7.04/9.13–9.24 per kg.
Mr. Zhao, Procurement Manager at CHF Seafood, noted that recent “price surges” are likely driven by niche orders, not mainstream demand. Some farmers are holding back stock, hoping for higher prices, leading to contract breaches.
02 A Short Window for Recovery: U.S. Buyers Place Small Replenishment Orders
While upstream players are optimistic, exporters and processors remain cautious. Some U.S. buyers, facing low inventories, have started replenishing small orders with Chinese suppliers.
A top tilapia processor in Hainan shared:
*“The 55% tariff makes trade feasible again. Some U.S. clients have reinstated canceled orders from early 2024. However, large-scale demand hasn’t yet rebounded.”*
03 Tilapia Exports Under Pressure: Market Share at Risk
Despite the tariff cut, China’s tilapia industry remains under dual pressure:
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Competition from Vietnam & Brazil (enjoying zero/low tariffs in the U.S.).
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Strict EU regulations (China faces 8% tariffs vs. Vietnam’s 0%, plus higher inspection rates).
An industry expert warned:
“Before the trade war, China held 70% of the U.S. tilapia market. Now, due to high costs and tariffs, Vietnam and Brazil are gaining ground. If trends continue, China’s share could drop to 50%—or even 30%.”
In the EU, price wars among Chinese exporters are worsening—some sell at a loss to retain orders, risking quality compromises.
A Hainan processor urged:
“Do not export substandard tilapia! A single drug residue scandal could tarnish China’s seafood reputation globally. We must prioritize quality over short-term gains.”
CHF Seafood’s Commitment to Sustainable Tilapia Exports
As a national-level seafood producer under Comwell Group, Zhuhai Chenghuifeng Agricultural Science and Technology Co., Ltd. operates with:
✔ 13.5-acre facility | ✔ 100,000-ton annual capacity
✔ 30,000-ton smart cold storage | ✔ In-house lab (HACCP, ISO, BAP, FDA certified)
Our Premium Tilapia Products (Custom OEM Available)
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Frozen Tilapia Fillets (IQF/BQF) – Ideal for U.S. retail & foodservice
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Whole Tilapia (Gutted & Scale-On) – Sourced from low-density farms
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Pre-Marinated Tilapia – Ready-to-cook convenience
Why Choose CHF?
✅ Strict quality control – No antibiotic residues, superior texture
✅ Competitive pricing – Optimized supply chain despite tariff challenges
✅ EU & U.S. compliance – Full traceability from pond to port
Industry Appeal: No Internal Price Wars—Protect China’s Tilapia Reputation!
The Hainan processor emphasized:
*“If raw material prices stabilize at ¥9.46–9.9/kg, farmers profit without overstocking, and processors can secure orders. Let’s not cede the market to competitors through reckless competition!”*
At CHF Seafood, we echo this call: Quality sustains markets; price wars destroy them.
Contact CHF Seafood for Reliable Tilapia Exports
🌐 Website: www.chfseafood.com
📧 Email: chloe@chfseafood.com
📞 Tel: +86 13434758707
📱 WhatsApp/WeChat: +86 13727050518
📍 Address: Zhuhai, China – Your trusted partner in sustainable aquaculture.
