President Trump recently announced a plan to increase U.S. imports of beef from Argentina to help lower costs for consumers. While this move sounds promising, experts believe its actual impact may be limited.
The plan allows Argentina to send an additional 80,000 metric tons of beef to the U.S. without tariffs. This beef will mainly be used to create ground beef, which is popular among families. “As President of the United States, I have a responsibility to ensure that hardworking Americans can afford to feed themselves and their families,” Trump stated.
However, David Ortega, a food economist from Michigan State University, pointed out that this extra supply represents only 0.6% of the total U.S. beef market. In numbers, that’s a drop in the bucket compared to the nearly 27 billion pounds of beef the U.S. produced in 2024, according to the U.S. Department of Agriculture.
Beef prices have reached record highs recently, averaging $6.69 per pound in December—up 19% from the previous year. Just five years ago, people paid about $3.95 for the same amount. So what’s driving these prices up?
The primary issue is a declining cattle supply caused by extreme weather conditions. Droughts have impacted farmers’ ability to grow feed for cattle, forcing many ranchers to sell their cows. Wildfires have also destroyed grazing lands. Meanwhile, prices for chicken and eggs, which soared due to an avian flu outbreak, have started to fall.
The USDA reported that the country’s beef cattle count hit a 75-year low, at 27.6 million heads at the start of this year, a 1% decrease from last year. Efforts to revive the cattle population could take years. Derrell Peel, a professor at Oklahoma State University, suggests that to truly address high beef prices, ranchers will need to save female cows for breeding instead of slaughtering them for immediate demand.
In a White House fact sheet, officials acknowledged these challenges, stating, “President Trump is responding to market challenges.” Yet, given the substantial hurdles, it’s clear that rebuilding the cattle supply is key to making beef more affordable again.
To sum up, while the new import plan might sound beneficial, experts doubt it will deliver significant price relief for consumers. The focus remains on rebuilding the cattle population over the long term.
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Consumer News, Tariffs, Trump Administration, Argentina, Farmers
