President Donald Trump signed a proclamation temporarily waiving tariffs on lean beef trimmings, benefiting Brazil and Paraguay while excluding countries with existing US quotas.
Key facts
- •The waiver removes a 26.4% out-of-quota duty that Brazil has paid since mid-January.
- •The US Department of Agriculture projects domestic beef production will fall by approximately 4% compared to 2025.
- •President Trump stated the measure could be revoked if the expected price discounts for consumers do not materialize.
- •Argentina holds a 100,000-tonne annual quota for the current calendar year, which was increased from 20,000 tonnes in February.
- •The imported lean trimmings are intended to be blended with US beef to produce ground beef.
US President Donald Trump signed a proclamation on August 26 to temporarily waive tariffs on up to 300,000 tonnes of lean beef trimmings. The measure, titled "Further Ensuring Affordable Beef for the American Consumer," allows for the import of these products without the standard out-of-quota duty. The policy specifically benefits Brazil and Paraguay, while excluding countries that already hold their own country-specific quotas in the US market.
By the numbers
Scope and Implementation
The tariff waiver is effective for 90 days, beginning September 1 and ending November 30. Imports are capped at 100,000 tonnes per month, allocated on a first-come, first-served basis. The measure invokes section 404 of the Uruguay Round Agreements Act, which permits the temporary expansion of tariff-rate quotas.
Exclusions and Market Impact
Countries with existing quotas—including Argentina, Uruguay, Australia, New Zealand, and the United Kingdom—are excluded from the waiver because the additional volume is allocated to the "other countries or areas" statistical category. Canada and Mexico are also excluded due to their existing free trade agreements. The White House stated the decision addresses a decline in the US cattle herd, which is at its lowest level in 75 years, alongside production challenges including drought, wildfires, and restrictions on live cattle imports from Mexico.
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This article was independently rewritten by ManyPress editorial AI from reporting originally published by MercoPress.
