President Donald Trump on Wednesday formally increased the amount of foreign beef that can enter the United States at a lower tariff rate by 300,000 metric tons, advancing an affordability push aimed at bringing down elevated ground beef prices.

The temporary increase applies to lean beef trimmings under the U.S. beef tariff-rate quota and will be released in three tranches of 100,000 metric tons each beginning Sept. 1, according to a White House proclamation. Lean beef trimmings are the core input for ground beef, and the United States routinely supplements domestic supplies — which skew fattier because U.S. cattle are largely grain-fed — with imported lean product, historically from suppliers such as Australia, New Zealand and South American producers. The tariff-rate quota is a mechanism the United States maintains under its World Trade Organization commitments: shipments inside the quota pay a nominal duty of 4.4 cents per kilogram, while over-quota beef faces a 26.4% tariff, so additional quota volume effectively lowers the landed cost of the imported product.

Trump said the move is intended to increase the supply of ground beef and lower prices for American consumers as the U.S. cattle herd remains near historic lows and domestic beef production is expected to decline this year. Ground beef is among the most widely purchased beef products in U.S. grocery stores, which has made its price a closely watched indicator of food costs. The proclamation puts into effect a policy Trump previewed last week, when he announced plans to allow up to 300,000 metric tons of additional foreign beef into the country as part of an effort to ease grocery costs.

The formal action follows pushback from Republican lawmakers in cattle-producing states, who have warned that increasing foreign beef imports could undercut ranchers working to rebuild the U.S. herd. The administration, however, maintains that domestic supplies remain insufficient to meet demand at reasonable prices. The divide reflects a recurring fault line in U.S. beef policy, where consumer-price concerns and producer demands for import protection have long pulled in opposite directions.

The Department of Agriculture forecasts that U.S. beef production will decline by about 4% this year compared with 2025, according to the proclamation. The White House attributed the supply pressure in part to restrictions on live cattle imports from Mexico aimed at preventing the spread of New World screwworm, as well as drought and wildfire conditions affecting cattle-producing regions.

The U.S. cattle herd has fallen to its lowest level in 75 years, though USDA data cited by the administration suggests the herd began showing early signs of growth in July. The administration also said the USDA forecasts domestic beef consumption will increase through the remainder of 2026, adding further pressure to supplies.

The latest action follows a separate move in February that increased the 2026 quota for lean beef trimmings from Argentina by 80,000 metric tons. The new 300,000 metric-ton increase does not affect that allocation and instead applies to "other countries or areas."

Under the rollout schedule, the first 100,000 metric tons will be available from Sept. 1 through Sept. 30, followed by another 100,000 metric tons from Oct. 1 through Oct. 30. The final tranche will open Oct. 31 and remain available until the quota is filled or Nov. 30 arrives, whichever comes first.

The administration has also tied the expanded quota to prices. The agriculture secretary and the U.S. trade representative are directed to monitor whether beef entering under the additional quota is sold at prices 25% below the market price for lean beef trimmings. If that discount does not materialize, the officials must notify Trump, who could eliminate the remaining increase. How quickly importers draw down the tranches, whether the price test is met, and how the herd responds in coming USDA data will signal whether the expansion delivers the consumer-level effect the administration is targeting.

Source: Fox Business