Trump won’t be able to save the struggling U.S. beef industry

Published 2024년 12월 10일

Tridge summary

The US beef industry is facing a severe cattle shortage, leading to higher prices and reduced profits for meat processors. Factors such as depressed prices, severe droughts, and increased costs have forced farmers to reduce their herds, resulting in the smallest herd size since 1961. Furthermore, potential new tariffs and immigration reforms could exacerbate the situation by limiting supply and increasing labor costs. Despite President-elect Donald Trump's popularity in agricultural communities, his policies could negatively impact the industry by raising beef prices and potentially shifting consumer preferences towards cheaper proteins like chicken.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

(Dec 10): He has manned the McDonald’s drive-thru, served Big Macs in the White House and peddled Trump Steaks on cable TV. But even a red-meat loving President-elect like Donald Trump won’t be able to save the struggling US beef industry. A severe shortage of cattle, which has fueled grocery-store price hikes and wiped-out billions in meat-processor profits, is primed to get worse before the next election cycle. The US beef herd is already the smallest since 1961 after years of depressed prices, severe droughts and surging costs forced farmers to send more females to slaughter. Now, the possibility of new tariffs and immigration reform risk constraining supplies further still. “All of the things he is talking about have potential negative consequences more so than anything positive,” Derrell Peel, a professor of agricultural economics at Oklahoma State University, said of Trump’s policy pledges. “Our fate’s pretty well determined in the cattle industry in the US for the next two ...

Source: Theedgemarkets