Source: Rita Jane Gabbett, MEATINGPLACE, 8/6/19


U.S. pork and beef exports were above year-ago levels in both volume and value in June, according to data released by USDA and compiled by the U.S. Meat Export Federation (USMEF).

Led by a rebound in Mexico and China, pork export value was the highest in 14 months, while strong results in South Korea and Taiwan pushed beef export value to the fourth-highest total on record.

Pork
On May 20, the 20% retaliatory duty on most U.S. pork exports to Mexico was removed as the U.S., Mexico and Canada reached an agreement on steel and aluminum tariffs. Entering Mexico duty-free for the first time in nearly a year, June exports to Mexico were the largest since January.

Despite retaliatory duties remaining in place, June also brought an encouraging rise in pork exports to China, which were the largest in more than three years at 41,704 metric tons (mt), up 123% year-over-year, valued at $88.5 million, up 77%. This pushed first-half exports to China 23% ahead of last year in volume (177,060 mt) and 3% higher in value ($353.1 million).

Beef
Last year South Korea surpassed Mexico as the second-largest destination for U.S. beef exports, and in 2019 it continues to close the gap on leading market Japan. Exports to Korea remained on a record pace in June, increasing 2% from a year ago to 25,118 mt (a post-BSE high), while value climbed 15% to a record $178.3 million.

Beef exports to Taiwan finished a very strong second quarter with June shipments reaching a new monthly high of 6,654 mt, up 40% from a year ago, valued at $58 million (up 46% and the second-highest on record). First-half exports to Taiwan were 16% above last year's record pace in volume (31,132 mt) and 11% higher in value ($276.2 million).

U.S. beef faces a significant tariff rate disadvantage in leading market Japan, where June exports totaled 29,794 mt, down 4% year-over-year, while value was down 7% to $179 million. For the first half of the year, exports to Japan were 1% below last year's pace in both volume (157,839 mt) and value (just over $1 billion).


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