ALGOMA, WI (WTAQ-WLUK) — President Donald Trump is pausing higher tariffs on imported beef for 90 days, in an attempt to bring in lower priced options for consumers.
The move has Wisconsin beef farmers worried cheaper imports could undercut their products.
The owners of Lakeshore Land and Livestock in Algoma are concerned imported beef prices could impact their bottom line.
Co-Owner Rachel Harmann said she understands consumers want to find the best deals possible at the grocery store to give their wallets a break.
“If somebody can get it someplace cheaper, usually that’s the route that they’re going to go. And that’s not really giving a positive incentive for farmers to really regrow our cow herds,” Harmann said.
Harmann said Trump lowering tariffs from foreign-produced beef will hurt her farm’s profits as people buy elsewhere.
The change allows up to 300,000 metric tons of additional ground beef to enter the U.S. at lower tariff rates.
Harmann expects the foreign beef to undercut her product.
“That will directly impact us and saying, ‘okay, maybe we’re going to lose customers for a little while or we might have to lower our prices or whatever that might be.’ It did not help us, that’s for sure,” Harmann said.
In July, ground beef cost an average of $6.89 per pound.
That’s a 57% increase from five years ago, according to the Federal Reserve Bank of St. Louis.
Wisconsin Farmers Union President Darin Von Ruden said lowering tariffs on foreign beef is not a good long-term solution to lower beef prices.
“The number one thing that’s driving prices right now is the nation’s herd is at the lowest it’s been in 70 years. And, you know, how does that grow? It’s not something that’s gonna happen overnight,” Von Ruden said.
Von Ruden said it’s a two- to three-year process to rebuild herds, allowing calves to grow and eventually produce more cattle.
The lower tariffs will take off about 25% from foreign beef.
Von Ruden said many Wisconsin farmers are worried other countries will see a greater benefit.
“If they’re able to produce it cheaper, we’re gonna have to come down and meet that price, which ultimately could have farmers being run out of business here in the country,” Von Ruden said.
The challenge now to lower beef prices for consumers while keeping Wisconsin farmers sustainable.
