Beef Hurt By China Not Honoring Agreements

The Office of The U.S. Trade Representative is scheduled to hold a hearing this week on the Phase One Trade Agreement with China negotiated during President Trump’s first term.

Trade Deal From First Trump Administration Had An Immediate Impact on Beef

U.S. Meat Export Federation President and CEO Dan Halstrom says that initial trade agreement delivered tremendous benefits for the U.S. beef industry.  He said American beef exports to China increase from $300 million in 2020 to over $2.1 billion in 2022, which was almost exclusively because of the Phase One deal implemented in 2020.

“It's only recently that we've seen a backslide in terms of performance," Halstrom noted.  "We all know that this recent issue here in 2025 where the majority of the U.S. beef plants were not relisted in the China CIFER system. This is obviously one of the major beef industry concerns in the trade side of getting these plants relisted for China. So, I think the administration's strategy is to hold China accountable to their commitments in the Phase One agreement in 2020.”

American Ranchers Are Loosing Out On Billions

Halstrom added the American ranchers has been greatly impacted by China not living up to its Phase One commitments.

“We estimate that losses of up to $150 per head are being sustained by lack of access into China," Halstrom said.  "But it's not just the $1.5 billion of lost export sales, it's the halo effect of having China in the market, because the product mix is very similar amongst all of Asia. So, you've got Japan, Korea, Taiwan, China, all competing for some of the same like products, for example, for short plates. So, the fact that you don't have China in the market, the losses are upwards of $2.5-$3 billion a year.”

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