
"The integration of the North American live cattle and beef supply chain is unlike any other in the world," says Nathan Finney, president of the CCA. "The United States and Canada have the largest two-way trade in live cattle and beef in the world, with a significant amount of Canadian cattle shipped to meat processing plants in the U.S. and returned to Canada as beef for retail sale. Additionally, American cattle are finished in Canadian feedlots before returning to the U.S. for processing. Tariffs will significantly increase the cost of cattle processing and, ultimately, the price of beef on both sides of the border."
Finney emphasizes that the Canadian meat industry is a staunch supporter of free and open trade. "We expect our trade agreements to be respected and adhered to. International trade advances through negotiations and compromises, as was done with President Trump's renegotiation of NAFTA."
Every day, $3.6 billion worth of goods cross the Canada-US border, resulting in an annual trade relationship worth $1.3 trillion. Remarkably, Canadians purchase $722 worth of US agricultural products per person annually, while Americans purchase only $118 worth of Canadian agricultural products per person.
The American and Canadian meat and cattle industries are partners in this cross-border trade, with small and medium-sized processors and local and regional food systems on both sides of the border relying on the free flow of cattle and beef across the border.
Finney noted that "tariffs will have a significant impact on both the Canadian and U.S. beef and livestock industries, affecting prices , production, trade flows and margins, as well as the use of feedlots, processing plants, trucking companies, and other supply chain partners. We can expect an immediate increase in volatility."
"The impact of the tariff will be felt by beef producers across North America. The tariff will threaten American jobs across the entire value chain and increase costs for both Canadians and Americans at grocery stores and restaurants," says Finney.