U.S. cattle prices drop amid proposed beef import plan

Live cattle prices have experienced a significant decline of 15% to 20% since last spring, despite the USDA reporting that 2025 beef cow and calf crop inventories are at their lowest levels since 1961.

Market analysts attribute this price drop to uncertainties surrounding trade and tariff policies. Specifically, President Trump has announced plans to allow up to 300,000 tons of imported ground beef into the United States with lower tariffs over the next 90 days. This plan has caused frustration among ranchers due to a lack of specific details regarding the countries of origin, distribution, or pricing mechanisms.

Other contributing factors to market volatility include the closure of Tyson beef processing plants in Illinois and Utah, the reopening of the Mexican border for live cattle crossings, and ongoing drought conditions in the Southern Plains and Southeast. Additionally, trade tensions with China, Canada, and Mexico are creating broader economic uncertainty.