TOPEKA, Kan. — U.S. Trade Representative Katherine Tai and U.S. Secretary of Agriculture Tom Vilsack today announced that the U.S. and Japan have reached an agreement to increase the beef safeguard trigger level under the U.S.-Japan Trade Agreement. The new three-trigger safeguard mechanism will allow U.S. exporters to meet Japan’s growing demand for high-quality beef and reduce the probability that Japan will impose higher tariffs in the future.
The agreement includes a new three-trigger mechanism whereby all three triggers must be hit for Japan to implement the safeguard and impose a higher tariff. The three triggers are as follows: 1) Imports from the U.S. must exceed the original beef safeguard trigger level under the U.S.-Japan Trade Agreement; 2) The aggregate volume of beef imports from the U.S. and the original signatories of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) must exceed the CPTPP beef safeguard; and 3) Imports from the U.S. must exceed the total amount of beef imports from the U.S. during the previous year. Both governments will work to finalize the text of the agreement reflecting the new trigger levels and complete their respective domestic procedures.
“While the details of the agreement in principle have not been disclosed, NCBA is encouraged that today’s announcement means we are taking necessary steps to secure long-term solutions that enable American cattle producers to continue providing Japanese consumers with high-quality U.S. beef at competitive prices,” said NCBA Senior Director of International Trade and Market Access Kent Bacus.
Japan is one of the top export markets for U.S. beef, accounting for more than $2.3 billion in sales in 2021.
— Kansas Livestock Association