Important News

President temporarily increases U.S. import quota for lean beef trimmings by 80,000 metric tons, allocated to Argentina

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Key takeaways

  • The proclamation increases the U.S. in-quota quantity for certain beef products by 80,000 metric tons for calendar year 2026 under the beef TRQ.
  • The increase applies only to lean beef trimmings classifiable under HTSUS statistical reporting numbers 0201.30.5085 and 0202.30.5085.
  • All 80,000 metric tons are allocated entirely to Argentina.
  • The additional quantity will be administered first-come, first-served in four quarterly tranches of 20,000 mt: Feb 13–Mar 31; Apr 1–Jun 30; Jul 1–Sep 30; Oct 1–Dec 31, 2026.
  • The proclamation cites drought, wildfires, a reduced U.S. cattle herd, high ground beef prices (average $6.69/lb in Dec 2025), and Mexican import restrictions after New World screwworm detections as reasons for the action.
  • The United States Trade Representative, in consultation with U.S. Customs and Border Protection, will make any necessary HTSUS modifications by Federal Register notice; the Secretary of Agriculture will continue to monitor domestic supply and advise the President.

Follow Up Questions

What is a tariff-rate quota (TRQ) and how does it change the cost of imported goods?Expand

A tariff‑rate quota (TRQ) is a two‑tier import rule that lets a set quantity of a product enter at a lower (in‑quota) tariff rate and charges a much higher tariff on any amounts above that quota. By increasing the in‑quota quantity, more imports face the lower tariff, which lowers import costs and can reduce domestic prices; if shipments exceed the in‑quota amount they pay the higher over‑quota duty, making them more expensive.

What do the HTSUS statistical reporting numbers (e.g., 0201.30.5085) indicate and why are they important here?Expand

HTSUS statistical reporting numbers are detailed tariff and statistical codes from the Harmonized Tariff Schedule of the United States that classify merchandise (by product, form, and use) for customs duty and trade reporting. Codes like 0201.30.5085 precisely identify ‘lean beef trimmings’ so U.S. agencies can apply the correct TRQ treatment, monitor quota fills, and enforce duties and import rules.

What are "lean beef trimmings" and how are they used in producing ground beef?Expand

‘Lean beef trimmings’ are the lean cuts and small pieces of beef left after primary butchering; they’re high in protein/low in fat and are commonly blended with fattier domestic trimmings to make ground beef with desired fat content (e.g., 80/20 or 90/10). Importing lean trimmings increases the supply of lean components used in ground‑beef blending.

Why did the proclamation allocate the entire 80,000 metric tons to Argentina rather than splitting it among multiple suppliers?Expand

The proclamation says the President “determined that it is appropriate to allocate all of the increased in‑quota quantity of beef … to Argentina,” but it does not give detailed public reasons. Common practical reasons (noted in trade practice) include Argentina’s large export capacity and ability to supply lean trimmings quickly; however, the proclamation itself is the authoritative source for the allocation decision.

How does a "first-come, first-served" TRQ tranche work in practice for importers?Expand

In a first‑come, first‑served TRQ tranche importers file entries with CBP using the applicable HTSUS codes; entries that are correctly classified and presented to CBP during the tranche window receive the in‑quota (lower) duty treatment until the tranche’s in‑quota quantity (here 20,000 mt) is used up. Once the tranche fills, later entries are assessed the over‑quota duty unless additional in‑quota quantity is available. USTR/CBP usually publish Federal Register notices with the exact administrative steps.

What roles will the United States Trade Representative (USTR) and U.S. Customs and Border Protection (CBP) play in implementing these changes?Expand

USTR will update the HTSUS (through Federal Register notices) and, in consultation with CBP, decide any additional tariff-code changes needed to implement the proclamation. CBP enforces tariff classification and applies the in‑quota or over‑quota duty at entry, tracking quota fills; USDA (Secretary of Agriculture) will monitor supplies and advise the President.

What is the New World screwworm, and how did its detection in Mexico lead to restrictions that affect U.S. beef supplies?Expand

The New World screwworm (Cochliomyia hominivorax) is a parasitic fly whose larvae eat living tissue of warm‑blooded animals; outbreaks can force trade restrictions on animals and animal products to prevent spread. Detections in Mexico in 2025 prompted USDA/APHIS and CBP restrictions on certain live‑animal imports/transits, reducing feeder‑calf supplies for U.S. feedlots and contributing to tighter U.S. beef supply.

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