Trump cuts tariffs on ground beef products to lower prices

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President Donald Trump signed an order easing tariffs on some ground beef imports, an effort to lower costs for consumers that has managed to rile ranchers and rural state Republicans before the November midterm elections.

Lean beef trimmings will be temporarily exempted from a higher tariff rate if they exceed a pre-set quota. The duty relief will last for 90 days, and is limited to 100,000 tons per month.

READ MORE: Trump signals openness to beef processing rule changes

The move is “to ensure affordable beef for American consumers in light of current supply challenges,” according to a White House fact sheet released late Aug. 26. “This action includes key safeguards to maximize cost savings while protecting American ranchers from foreign imports and giving space for American ranchers to grow the domestic herd.”

Trump first announced his plans to provide tariff relief on Aug. 21, saying the U.S. would allow as much as 300,000 metric tons of ground beef product to come into the country without being subject to duties for imports that exceed a certain quota. A White House official at the time said foreign beef exporters agreed to provide a 25% discount in exchange for tariff relief and that those savings would be passed on to American consumers.

The move was just the latest effort by Trump to reduce beef prices amid a cattle shortage, higher production costs and dry pastures that have strained supplies. The price of ground beef has increased nearly 80% since 2020. More broadly, polls show voters anxious about high costs of living, including for groceries with elections that will determine control of Congress just months away.

The president’s campaign to lower prices with tariff relief, however, drew backlash from ranchers, alienating a group whose support is important to Republican electoral hopes. GOP lawmakers representing states with large numbers of ranchers lambasted the decision, saying it would hurt American producers and failed to address the challenges in growing the U.S. cattle herd.

Rep. Jason Smith (R-Mo.), who leads the influential House committee that writes tax and trade law, criticized the move in a social media post on Aug. 27. Smith is a staunch ally to Trump and rarely splits from supporting White House policy.

“Forcing our cattlemen and women — who have weathered years of drought along with the high costs of food, fuel, and fertilizer — to shoulder the burden of lowering beef prices won’t solve the issue,” Smith said.

Americans are rightly concerned about their cost of living, and the President is rightly focused on making life more affordable. But forcing our cattlemen and women — who have weathered years of drought along with the high costs of food, fuel, and fertilizer — to shoulder the… — Rep. Jason Smith (@RepJasonSmith) August 27, 2026

Tyson Foods Inc. shares fell as much as 2.6% to the lowest price since August 3, while JBS NV shares fell about 2.8%. 

The U.S. has put a quota on beef coming in from various countries for years. The Aug. 26 announcement won’t change previous beef commitments for countries with free trade agreements and it also doesn’t apply to nations with country-specific beef quotas, the White House said. Australia, New Zealand, Argentina and Uruguay all have country-specific quotas, and the U.S. has free trade agreements with Mexico and Canada. 

Other major beef suppliers to the U.S. include Brazil and Paraguay. Brazil’s beef exporters association Abiec said in a note that its exporters could benefit from Trump’s proclamation, though margin gains are limited by the requirement of a 25% discount. 

Tyson ranks No. 8 on the Transport Topics Top 100 list of the largest private carriers in North America and No. 1 among agriculture/food processing carriers.