World

Trump expands low-tariff beef imports as US herd shrinks and prices rise

White House says expanded imports are necessary amid a combination of forces squeezing US beef production

Donald Trump speaks at a back-to-school event in Washington.
Donald Trump speaks at a back-to-school event in Washington. AP/PTI

US President Donald Trump has temporarily opened the door to an additional 300,000 metric tonnes of lean beef trimmings, seeking to bolster ground-beef supplies and ease prices for American consumers as the country grapples with a shrinking cattle herd and tightening domestic production.

Under the measure, the additional beef will enter the United States at the lower, in-quota tariff rate for 90 days from 1 September. The expanded quota will be released in three equal tranches of 100,000 metric tonnes and distributed on a first-come, first-served basis.

The first tranche will be available from 1 to 30 September, followed by the second from 1 to 30 October. The final 100,000-tonne tranche will open on 31 October and remain available until the quota is exhausted or 30 November, whichever comes first.

The move is narrowly focused on lean beef trimmings used alongside domestically produced beef to make ground beef. It does not change existing arrangements for countries that have free-trade agreements with the United States or those covered by country-specific beef quotas, according to a White House fact sheet.

Trump said domestic production alone was unlikely to provide enough beef at prices consumers could reasonably afford, pointing to a combination of natural disasters, disease and major disruptions in the cattle market.

“As president of the United States, I have a responsibility to ensure that hard-working Americans can afford to feed themselves and their families,” Trump said in his proclamation.

The administration estimates that the temporary quota could lift the projected US beef supply by around 10 per cent. Officials argue that the additional imports would primarily compete with the market for cull cows rather than putting significant pressure on the fed-cattle market.

The administration has also ordered the agriculture secretary and US Trade Representative to monitor imported beef prices. They will examine whether beef entering under the expanded quota is being sold at least 25 per cent below the prevailing market price for lean beef trimmings.

Trump warned that the measure could be withdrawn if it fails to bring down prices for consumers.

The White House said the expanded imports were necessary amid a combination of forces squeezing US beef production. Among them are restrictions on live cattle entering from Mexico, imposed to contain the spread of New World Screwworm, a livestock pest that can cause severe infections.

The administration also pointed to drought, wildfires and dwindling supplies of feed and forage across major cattle-producing regions.

The closure of southern US ports to Mexican livestock, the White House said, resulted in the loss of hundreds of thousands of tonnes of beef that otherwise could have been produced domestically. Some ports remain closed while US and Mexican authorities work towards a phased reopening with safeguards against the pest.

The pressures have come as the American cattle herd has fallen to its lowest level in 75 years. The US Department of Agriculture expects domestic beef production to decline by roughly 4 per cent from 2025 levels, adding to concerns over supply and prices.

There are, however, tentative signs that the long decline may be beginning to reverse. Department data showed cattle numbers entering the early stages of growth in July, while ranchers have been retaining more heifers for breeding.

The White House attributed high production costs to what it described as inflationary policies under the Biden administration, arguing that lower feed and input costs will be crucial to rebuilding the nation's cattle industry.

Trump has already taken steps to increase beef imports this year. In February, he expanded the 2026 quota for lean beef trimmings from Argentina by 80,000 metric tonnes. Wednesday's proclamation leaves that allocation untouched, while directing the new 300,000-tonne quota towards other eligible countries and territories.

The latest action was taken under the Uruguay Round Agreements Act, which allows the US president to temporarily expand access to agricultural imports at the lower in-quota tariff rate when domestic supplies are disrupted by natural disasters, disease or major market disturbances.

For American consumers, the policy is ultimately a race against the checkout counter: Washington is seeking to put more beef into the supply chain before dwindling cattle numbers and elevated production costs push ground-beef prices even higher.

The United States remains the world's largest beef consumer by volume and second-largest on a per-capita basis, making the price and availability of beef a particularly sensitive issue for households and policymakers alike.

With IANS inputs

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