November 29, 2022

Japan approves revised beef safeguard mechanism with the US

The Upper House of Japan's Diet has approved a revised beef safeguard mechanism under the US-Japan Trade Agreement (USJTA), allowing US beef exporters to meet Japan's growing demand for the meat and reducing the probability of higher tariffs in the future, American Journal of Transportation reported.

The agreement includes a new three-trigger safeguard mechanism. Both countries are working on finalising all domestic procedures for the agreement to come into force.

The USJTA was signed by United States Trade Representative Katherine Tai and Japan's Ambassador to the United States Koji Tomita on June 2, 2022

Tai said the amended protocol will ensure US farmers and ranchers continue to have access to one of the world's most dynamic markets.

She said they thrilled that Japanese consumers can enjoy high quality American beef, a staple of their agricultural sector. The [rotocol is a fundamental tenet of both countries' two-way trade relationship, and she is appreciative of their stakeholders and producers for making it possible.

The US, which sold more than US$10 billion worth of beef and beef-related products globally in 2021. Japan was the US' second-largest beef export market in 2021, receiving close to US$2.4 billion in total US beef exports.

-      American Journal of Transportation