High beef prices could spike further if agricultural tariffs go into effect. Imports are holding beef costs in check.

The price for an all-American beef burger has
continued to climb. (Adobe Stock photo)

Got milk? Yes. Got beef? Well, that depends on how much you want to spend. American "beef has been rising in price for years now . . . And [with] proposed tariffs, it may be about to get much worse," reports The Economist. "Since January 2020, the average price of a pound of beef mince has risen from $3.90 to $5.60. That is a 45% increase, almost double the general inflation rate."

Rising beef prices stem from Americans' high demand for beef and a shrinking domestic supply. U.S. livestock herds are smaller than they were a decade ago, but American beef consumption has remained steady or, in some cases, increased. The imbalance has led suppliers to import beef to meet demand without further price escalation. The Economist reports, "Last year imports totaled 2 million head of live cattle. . .a record high."

While imports helped put the price brake on current beef costs, the Trump administration's tariffs could cause prices to rise again. The Economist explains, "On April 2nd, [Trump said] he will be imposing hefty new tariffs on agricultural imports. That will probably include beef. Farmers, he said, should 'get ready' to grow food to sell to Americans, and 'have fun.'"

If hefty import tariffs are levied on beef, the cost of meat is expected to spike, leaving U.S. farmers more likely to "sell down their stocks" rather than grow their herds, the Economist reports. Steve Sunderman, a rancher in northeast Nebraska, told the Economist, “We’re trying to be in a rebuilding phase for the herd. So it’d be a great thing for price, but probably a horrible thing for the industry."