By Shelby Shank
Field Editor

Demand for U.S. red meat remains strong worldwide where customers crave the quality and consistency of U.S. pork, beef and lamb, despite significant obstacles in the international marketplace.

While pork and beef exports dipped slightly earlier this year, industry leaders say the declines are due to political interference and not a change in consumer preference.

“We’ve seen a lot of noise in the marketplace over the last several months,” Dan Halstrom, president and CEO of the U.S. Meat Export Federation (USMEF), told the Texas Farm Bureau Radio Network. “But when you sift through the noise and the uncontrollables in the marketplace, the bottom line is that demand is still very strong for U.S. beef, pork and lamb, and in some countries, even record breaking.”

Pork
Pork exports are slightly lower than last year’s record, largely because of China’s retaliatory tariffs and uncertainty over plant eligibility.

“Through July, pork exports were down 4% in both volume and value,” Halstrom said. “If you take China out of the mix, it’s virtually steady with a year ago, which I think is a pretty good sign.”

Pork shipments remain strong to Mexico, Central America and Columbia.

Beef
Beef exports have faced greater challenges by China’s retaliatory tariffs and the country’s failure to renew registrations for U.S. beef plants and cold storage facilities.

“This is obviously a political card that’s being held by the China side,” Halstrom said. “One thing I’m very confident in is that the Office of the U.S. Trade Representative (USTR) is well aware of our position, well aware of what’s involved, and very well-informed. I do think they’ll get it worked out eventually, I just can’t tell you when. No one can.”

Beef exports were down 8% in both volume and value, but removing China from the mix, exports were only down 1 to 2%.

Lamb
Lamb exports continue to increase up to 30% driven by Mexico and the Caribbean as they found new uses for the product.

China
A major trade deal between the U.S. and China isn’t likely anytime soon, according to Jan Lambregts, head of RaboResearch Global Economics & Markets.

“What the U.S. is demanding is access to Chinese markets. What China will never give is access to their markets because that’s how they’ve been winning in trade during the past 30 to 40 years,” Lambregts said.

For U.S. red meat exporters, the biggest short-term goal is restoring normal access to China. Tariffs have decreased slightly with pork dropping from 57% to 47% and beef from 32% to 22%, but they’re still higher than a year ago.

“We need to get these beef plants re-listed, and it’s obviously a pawn that’s being used in total negotiations beyond agriculture,” Halstrom said. “But the USTR is well aware of the importance of getting these plants re-listed for China.”

Argentina
As beef imports from Argentina continue to enter the U.S., questions have emerged about whether this will lower consumer beef prices.

“There’s a real need for lean trim to come into the states,” Halstrom said. “There’s a lot being imported from Brazil, Australia and Argentia. Our cattle aren’t lean enough to meet 80/20 or 85/15 blends, so imported lean beef complements the ground beef supply, which has been going on for decades.”

Halstrom noted that imported beef isn’t a solution to high prices.

“What’s going to solve it is time and if we continue to get good moisture in cattle producing states like we have this year,” Halstrom said.

Trading partnerships and global demand
Expanding U.S. red meat exports depends on quality and strong trade relationships.

“The world doesn’t just buy U.S. meat because it’s available. They buy it because it’s exceptional,” Jay Theiler, executive vice president of corporate affairs for Agri Beef Company and new USMEF chair, said. “Our U.S. red meat brand means something. It’s the gold standard for quality, taste, safety, sustainability and reliability. Our beef, pork and lamb is sought out as incomes around the world grow. But we can’t take this for granted, and we must continue to invest in international marketing, especially as our global competitors increase their quality and aim to compete with us.”

Theiler noted the importance of protecting the strong relationships already built with long-standing trade partners.

“We cannot take our long-standing partners for granted,” Theiler said. “Markets like Japan, South Korea, Taiwan and Mexico are vital and have been reliable trading partners for decades. We must continue to protect and strengthen those relationships, and we must keep earning their confidence and trust.”

Exports to free trade agreement (FTA) partners have grown over 30% in the past decade, now accounting for 76% of total shipments. Canada and Mexico remain the largest trading block, taking about 27% of beef and pork exports combined. Other FTAs, including Korea and Central America, continue to expand, while markets like Colombia, Chile and Peru add additional growth. Excluding China, FTA partners make up over 90% of U.S. red meat exports.

“Markets like Central America, Columbia and Mexico used to buy select or ungraded meat 10 years ago. Now, they’re switching to choice and higher,” Halstrom said. “The eating experience is more consistent and reliable, and consumers are willing to pay for it.”