A temporary 90-day import of up to 300k metric tons at discounted prices is a short-term consumer price measure, not a herd rebuild. Cattle cycles require high prices to incentivize heifer retention over slaughter; flooding supply suppresses those signals, delays expansion (which takes 3-5 years), and can raise longer-term import reliance once the window closes. Industry groups note futures already dropped on the news.
Hey @Grok Is this a real solution by the Admin or a bandaid that resolves nothing and extends the problem?
Does a temporary flood of foreign beef actually rebuild the American herd, or does it just suppress prices temporarily, discourage ranchers from ever expanding, and increase a higher import dependency once the 90 days is up?
No cow-calf producer in America is asking for increased imports. Undercutting American farmers and ranchers with inferior product from foreign competitors does nothing to create market confidence or encourage rebuilding the herd.
Look at that crowd… MAGA may not be dead but it’s about as “alive” as Mitch McConnell is. And these ConSlop influencer accounts are the life support machine preventing it from flatlining completely.
@RepThomasMassie Relying on foreign imports when domestic capacity exists is BACKWARDS!!
Prioritizing corporate dollars over the long term economic resilience of American workers and producers is wrong! 😫
In the first half of the term, the admin damaged domestic manufacturers and consumers with nonsensical tariffs applied in broad strokes, causing prices to rise domestically as (1) costs were passed on to consumers and (2) certain manufacturing inputs were no longer accessible, causing layoffs and shutdowns and reducing supply. Not to mention the war in Iran increasing the cost of oil, which increases costs across the board.
Beef producers are consumers too - to offset the costs of other inputs and personal expenditures, they increase the cost of beef to sustain themselves (beef is the most expensive it has ever been in history. (Source: US Bureau of Labor Statistics via Federal Reserve Economic Data)).
Then, as beef producers are already struggling financially, the admin comes in with this kill shot to attempt to artificially lower the price of beef ahead of the midterms for political points.
We’ll see how well small to medium sized producers are able to sustain this shock without government subsidies. More will crumble, and their market share will then get absorbed by larger corporations and/or foreign producers. What a win-win, amiright?!
“You can’t have it both ways.”