Tariffs Could Impact Local Beef Industry


The local beef industry could be impacted if China places additional tariffs on products from the U.S.

“Proposed tariffs from China in retaliation are counter to the tariffs as proposed to the U.S. are of significant importance to the U.S. beef market,” says Ross Wilson, the CEO of Texas Cattle Feeders Association.

The Texas Cattle Feeders Association tells us if these tariffs go into place, Chinese consumers would be paying more for U.S. beef, which would put producers at a disadvantage.

“The impact of the tariffs is basically that it raises bottom line, it raises the cost of beef to the Chinese consumer so they go to the store and look at U.S. beef at one price, Canadian beef, Australian beef, beef from South America  and there are a lot of factors that go into the final price at the retail counter, but one of those significant factors can be tariffs that are added by the importing country, in this case, China,” added Wilson.

With China being the second largest importer of beef in the world, the U.S. has been looking to increase exports to them.

Wilson says losing the possibility would hurt local producers.

“We export approximately 13-15% of all of the beef that is produced in the U.S. but 96% of the consumers live outside of the U.S. so export markets are important to cattle producers and beef producers,” said Wilson.

Wilson tells us he has heard concerns from those in the beef industry but it is unknown when the tariffs will go into effect.

A tariff of nearly 180% has already been added to U.S. sorghum.

That went into effect last week. 

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