Ag groups have been preparing for President Trump’s tariffs for some time now. One dairy group says that preparation has actually helped their numbers.
“So, certainly, folks have been gearing up. That’s actually been good for our trade data so far. We’re moving a lot more product because folks don’t want to be out of U.S. products during these times,” said Sarah Dorland, a dairy economist with Ceres Dairy Risk Management.
Dorland says it does not take much market action to shake up the dairy economy. While they are shipping a lot of products now, she warns that could change drastically in the future.
U.S. dairy products are looking at an additional 10 percent tariff from China in the coming days. China has responded with its own tariffs that aim to target a number of U.S. ag goods. They include a 15 percent tariff on all U.S. chicken, wheat, corn, and cotton. There is also an extra 10 percent on U.S. soybeans, sorghum, pork, beef, as well as other fruits and vegetables. Chinese officials say those take effect March 10th.
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Expanding chicken supplies are likely to keep prices under pressure in early 2026 despite steady demand growth.
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Reduced winter placements indicate tighter fed cattle supplies and greater leverage during peak-demand months.
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Federal nutrition policy is signaling a stronger demand for whole foods produced by U.S. farmers and ranchers. Consumer-facing guidance favors animal protein, but institutional demand may change little under existing saturated fat limits.
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Retail pricing confirms tight cattle supplies and supports continued leverage for producers, reinforcing the need for disciplined risk management.
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Dr. Rosslyn Biggs with the Oklahoma State University Center for Rural Veterinary Medicine shares insight into biosecurity, preparedness, and animal health concerns facing livestock producers as New World screwworm outbreaks continue in Mexico.
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