December 5, 2019
Japan approves US-Japan beef and pork trade agreement
The US-Japan beef trade agreement approved by the Japanese Parliament Upper House on December 4, 2019 will improve United States beef and pork meat access to Japan.
Dan Halstrom, US Meat Export Federation (USMEF) president and CEO said US beef and pork industries are anticipating increased opportunities in Japan, the biggest value destination for exports of US beef and pork, which hit US$3.7 billion in 2018.
Halstrom added that US-Japan agreement is the biggest development in the history of the country's red meat trade, and Japan will be the biggest international market to benefit US farmers, ranchers and its supply chain.
Through this agreement, Japan will be able to purchase more affordable US beef and pork. The USMEF estimates exports for US beef and pork to Japan in 2020 to hit US$2.3 billion and US$1.7 billion respectively, with export volumes estimated at 360,000 tonnes for beef, and pork to hit 410,000 tonnes. These volume and value USMEF estimations are based on the new reduced tariff rates enforced for the full year.
In addition, the USMEF forecasts exports of beef and pork to hit US$5 billion, split about US$2.8 billion for beef and US$2 billion for pork. Under the new US-Japan agreement, tariffs for value-added and processed red meat products exports from the US to Japan will phase to zero.
Robert Lighthizer, US Trade Representative commended Japan's swift action to approve the new agreement, adding that US President Donald Trump will sign the impending proclamation for the US next week.
The agreement is set to go into effect January 1, 2020.
- US Meat Export Federation and Office of the US Trade Representative