Beef can be sliced many ways. So can the pending beef export deal to China. In spite of pre election threats against China that threatened to sour our trading relationship with a nation of growing wealth and over a billion people, the reality of U.S. beef going to China looks very good. A timeline and reaction in a moment.
The U.S. says China has agreed to reopen its market to U.S. beef by mid-July—a huge win for the U.S. beef industry and the broader feed industry.
The size and importance of the development cannot be overstated–China’s population is massive, with a growing middle class, inaccessible since the U.S. BSE outbreak in 2003.
Now, American Farm Bureau Federation trade adviser Dave Salmonsen says the Commerce Department has announced an agreed target date for China to reopen to U.S. beef.
“No later than July 16th of this year.”
The opening stems from a 100-day plan on trade, President Trump and China’s President initiated during a recent U.S. visit.
“The U.S and China are going to resolve the outstanding issues for the import of Chinese origins cooked poultry.”
Meanwhile, U.S. Commerce announced a concession to China. But the big announcement is beef. National Cattlemen’s Beef Association’s Kent Bacus, says “The population of China is a fifth of the world’s population. Their middle class is bigger than the entire U.S. population, and that middle class is hungry for protein.”
Bacus says China boasts exponential growth that hit $2.5 billion in beef imports last year, including organ and other cuts that add value to U.S. beef.
Bacus says the entire production chain will benefit, as will the U.S. trade deficit, as the U.S. will now be able to compete in China’s beef market with major players like Australia and New Zealand.