The Trump administration recently announced the U.S. and Japan have reached an agreement in principle that will greatly improve access for U.S. agricultural products, including beef, in Japan. Although the agreement has yet to be finalized, it is expected to give U.S. farmers and ranchers the increased access that was lost when the administration pulled the U.S. out of the Trans-Pacific Partnership.
The U.S. Trade Representative estimates this expanded access could increase U.S. agricultural exports to Japan by more than $7 billion. The U.S. currently exports about $2 billion worth of beef to Japan, making it the top market for U.S. beef. This is predicted to grow once the agreement is put into place and excessive tariffs are reduced. According to NCBA President Jennifer Houston, reducing the current 38.5% tariff on U.S. beef will help level the playing field with competitors.
“We are very thankful to President Trump and his trade team for continuing to fight on behalf of America’s ranching families,” she said.
The agreement is expected to be finalized and signed next month during the United Nations General Assembly in New York.