What's at Steak with Japan
Cattle producers celebrated as the U.S.-Japan trade talks kicked off in Washington, D.C. this week. Ambassador Robert Lighthizer hosted Japan’s Economy Minister Toshimitsu Motegi in the first of what we expect will be multiple rounds of talks. Here is a quick reminder about what is at steak (pun intended) when it comes to Japan:
- Japan is the largest export market for U.S. beef (over $2 billion in sales last year).
- Key competitors, including Australia, New Zealand, Canada, and Mexico, currently enjoy a 12 percent tariff rate advantage over U.S. beef.
- The U.S. Meat Export Federation estimates that, in the absence of a trade deal, U.S. beef annual export losses by 2023 are estimated at $550 million, and will exceed $1.2 billion by 2028.