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13 March 2025

U.S. Beef Exports Surge Despite Tariff Challenges

Exports to key markets increase, but uncertainties loom over tariffs and trade agreements.

U.S. beef exports increased significantly at the start of 2025, with January figures showing promising trends compared to the previous year. According to data released by the U.S. Department of Agriculture (USDA) and compiled by the U.S. Meat Export Federation (USMEF), beef exports reached 102,840 metric tons (mt), up 3% year-over-year. The value of these exports also saw growth, climbing 5% to $804.6 million. This upswing was primarily fueled by strong demand from Asian markets such as China and South Korea.

Meanwhile, the performance of U.S. pork exports was less favorable, which totaled 243,965 mt. This number reflects a decrease of 3% compared to January of the previous year, with the value also dipping by 2% to $668 million. U.S. pork continues to thrive especially within Central America and Mexico, yet it experienced notable declines to key markets like Japan and Korea.

Highlighting the success of U.S. beef, U.S. beef exports to South Korea remained steady at 18,801 mt, demonstrating resilience even amid political and economic turmoil within the country. The value of these exports, amounting to $182.4 million, experienced a 7% increase. U.S. beef saw significant gains from China as well, where January exports surged to 15,920 mt, reflecting a substantial 35% increase from last year, with value rising to $137.3 million, up 34%.

Despite these upward trends, the U.S. beef industry is facing scrutiny as U.S. exports to China are expected to be impacted by new tariffs. Starting March 10, 2025, U.S. beef will be subject to an additional 10% tariff, bringing the total tariff to 22%. This has raised concerns among trade officials as eligibility for many U.S. beef plants is set to expire shortly thereafter, potentially unraveling the market access gains achieved under the U.S.-China Phase One Economic and Trade Agreement.

Dan Halstrom, USMEF President and CEO, acknowledged the growth of U.S. beef surges but emphasized the need for vigilance, especially concerning Chinese market access. “Demand for U.S. beef came on strong late last year, and the momentum largely continued,” said Halstrom, adding concerns over future access due to expiring registrations and tariffs.

Further fostering trade conditions for U.S. pork was favorable news from the Biden administration concerning tariffs on goods imported from Mexico and Canada. Continued access to these markets has presumably reinforced demand for U.S. red meats, facilitating necessary returns throughout the industry. Halstrom remarked, “Our Western Hemisphere markets are obviously key to our success, so the White House pausing tariffs on some goods is certainly encouraging.”

Despite pork exports seeing minor setbacks from last year's record performance, they still showed growth to certain regions. For example, exports to Mexico increased by 2% to reach 104,502 mt, alongside values climbing 7% to $222 million. This suggests strong market dynamics domestically as U.S. pork remains competitive.

Meanwhile, the National Cattlemen's Beef Association (NCBA) recently reached out to U.S. Trade Representative Jamieson Greer, urging the Biden administration to help lift Korea's longstanding import ban on beef from cattle aged 30 months or older. This age restriction has been a sensitive issue since its implementation back in 2008 due to concerns over mad cow disease.

The NCBA points out Thailand, China, and Japan have since lifted similar restrictions recognizing the safety and quality of U.S. beef as unassailable. NCBA stressed the importance of discussing the possibility of removing these restrictions to bolster trade relations between the two countries.

Seo Se-wook, economics professor at the National University of Korea, expressed concerns over the domestic market responding negatively to imports of beef older than 30 months. He noted, “If opened, there is potential for U.S. beef consumption to drop as opposition grows within Korea.”

While the future of beef imports remains uncertain, the U.S. continues to navigate significant economic landscapes. With experts predicting shifts due to global trade tensions (especially stemming from the U.S.-China trade war), trade discussions will likely remain complicated. Therefore, influential agricultural products including soybeans and sorghum might see opportunities to expand their markets.

For meat producers, maintaining favorable trade relationships is pivotal for their business models. The balancing act includes adapting to changing trade environments whilst ensuring customer confidence remains high as consumer habits transform.

Reflecting on the challenges and opportunities outlined, industry leaders will likely prepare comprehensive strategies to secure both competitive advantages and market continuity. U.S. meat exports will undoubtedly continue to play pivotal roles as the global economic footings shift, especially as professionals strategize ways to bolster exports and engage new trade regulations.

The total value of beef exports accounted for around 12.7% of total U.S. beef production, with this mix continuing to evolve as international demand fluctuates. Each advancement and setback showcases the intricacies of global meat trade as the U.S. strives to secure its position internationally.

With shifts occurring rapidly within the economic framework, industry representatives remain alert to changing tariffs and trade agreements, knowing full well the impacts will resonate beyond U.S. borders to international intermediaries and consumers everywhere.