Trump Waives Beef Tariffs to Lower Prices Amid Record Demand

US President Donald Trump announced on August 14 that he has waived higher beef tariffs for 90 days to lower prices. This move aims to address the affordability of beef, which has been increasing due to record-high consumer demand and a shrinking cattle herd size.

The higher tariffs are triggered when trade volume surpasses a certain quota, according to the World Trade Organization. Trump's announcement will allow up to 300,000 metric tons of product for ground beef to be imported with no out-of-quota tariff during this period.

The beef will be sold at 25% below current market prices, which is expected to reduce prices for Americans while giving space for the US beef herd to grow again. According to the Federal Reserve Bank of St. Louis, ground beef cost an average of $6.89 per pound in July, a 57% increase from five years ago.