China refused to import beef from an Australian company on Friday (Aug 28) after reporting finding the banned chemical in its products.
Australian officials say they are now working on solving the problem.
China’s Customs Agency said imported beef from John Dee Warwick Pty. Ltd. it contains the chemical chloramphenicol.
They also destroy all imported meat from that company.
Chloramphenicol is a type of antibiotic used to treat bacterial infections.
These chemicals contain carcinogens that commonly cause aplastic anemia, a health problem caused by the bone marrow not being able to produce sufficient numbers of new blood cells.
China has several times rejected beef imports from major Australian producers.
Many political analysts suspect that this rejection is generally related to a trade regulation dispute.
However, Australian Agriculture Minister David Littleproud said the latest refusal was lawful and justifiable.
Littleproud released a statement saying his ministry had been informed of the denial.