Trump Waives Beef Tariffs for 90 Days in Bid to Lower Prices
US President Donald Trump announced on August 14 that he has waived higher beef tariffs for 90 days to lower prices. The move aims to reduce costs for American families, who have seen a significant increase in ground beef prices over the past few years.
According to the Federal Reserve Bank of St. Louis, ground beef cost an average of $6.89 per pound last month, a 57% increase from five years ago. Beef prices have risen faster than other foods due to factors such as shrinking cattle herd sizes and increased consumer demand.
The higher tariffs Trump referenced are triggered when trade volume surpasses a certain quota, according to the World Trade Organization. To address this issue, the US will allow up to 300,000 metric tons of product for ground beef to be imported with no out-of-quota tariff over the next 90 days.
The imported beef will be sold at 25% below current market prices, according to Trump's announcement on Truth Social. This move is intended to give space for the US Great American Beef Herd to grow again and help rebuild the herd after it fell to its smallest size in modern history under President Biden's administration.