Most pork from America goes to China

Figures from the United States Department of Agriculture (USDA) and the Meat Export Federation show this pork exports increased by 22% to 221.586 tonnes in August. US pork exports are therefore 8% ahead of the first 4 months of the year compared to the same period last year. Exports amount to 1,7 million tons up to and including August.

In addition, the export value increased by 19% to $588,8 million (approximately €533 million). The export value in the first 8 months of the year is 1% higher than in the same period last year: $4,35 billion. Exports accounted for 27,1% of total pork production in August. Last year that percentage was 21,9%.

African swine fever
The outbreaks of African swine fever in several Asian countries have a positive effect on pork exports from the United States. For example, pork exports increased to South Korea in August by 27% to 14.336 tons, while the export value increased by 35% to $42,2 million. If we look at the first 8 months of the year, exports are still considerably behind last year. Up to and including August, 9% less was exported to this country and the export value was approximately 10% lower than 1 year earlier. Also in Vietnam and in the Philippines, African swine fever is a serious issue. Exports to these countries are expected to increase further in the coming months.

Another country experiencing outbreaks of African swine fever is China. The outbreaks of animal disease have also led to major meat shortages in this country. However, due to the trade war between China and the United States, American pork exporters cannot take full advantage of this. It is therefore somewhat surprising that China is the largest destination for pork from the United States. Exports to this country tripled in August to 63.656 tonnes, while the export value increased by 160% to $137,6 million. Between January and August, exports increased by 38% to 356.322 tonnes.

Steps in trade war
It does appear that American pork exporters will eventually be able to export more pork to China. The United States and China have finished October 11 namely a first agreement reached in the trade war. The agreement states, among other things, that: China will increase purchases of agricultural products (including pork), US President Donald Trump announced at the White House on Friday. In return, the United States will postpone imposing new import tariffs, although the December tariffs have not yet been abolished.

China will increase purchases of US agricultural products from $2 billion to $40 billion per year in 50 years. The country has also said it wants to buy more soybeans, pork and wheat from the United States. The country has already purchased 1,18 million tons of soybeans from the United States. All in all, it is the biggest breakthrough in the trade war that has now been going on for 18 months.