Inside Milk
United States beef exports decline
Beef exports from the United States will be lower in August than last year, according to new figures from the United States Department of Agriculture (USDA). This is mainly because the export to South Korea has shrunk considerably, while a record level was set in June and July.
Read this article?
Become a subscriber and get instant access
Choose the subscription that suits you
US beef exports totaled 114.119 tons in August, down 4% from the same month last year. The export value also decreased by 8% to $690,3 million (about €626 million). In the period from January to August, exports amount to 881.526 tons, which is 2% less than last year in this period. The export value fell 1% over the same period to $5,44 billion. Beef exports accounted for 14% of US beef production in August.
Waiting for deal with Japan
Like US pork exporters, beef exporters are waiting for tariff relief in trade with Japan. The European Union closed midway through this year a trade deal with Japan, causing US products to face higher import duties than competitors (such as the European Union). As a result, exports are 3% lower between January and August than in 2018.
In addition, the export value has decreased by 4%. If we only look at August, beef exports to Japan fell by 15% to 28.646 tons. The export value fell by more than 22% that same month to $164,3 million. It is also important to note that exports reached a record level last year due to an outbreak of BSE in Japan.
The export of American beef to South Korea also shows a decrease in August. This is somewhat striking, because beef exports to this country set a record level in June and July. In August, exports fell by 9% to 22.307 tons, while the export value fell by 11% to $157,4 million. The export is still higher in the first 8 months of the year: +8% to 174.290 tons.
Protests in Hong Kong
Beef exports to China fell by 8% over the first 24 months of the year to 60.259 tons. The export value also decreased by 20% to $510,7 million. The decrease has several causes, such as the street protests in Hong Kong. Although China is still a relatively small destination for beef from the United States and exports are hampered by the trade war between the 2 countries, exports rose by 23% in August to 5.625 tons.