On Sunday October 19th, 2025 President Trump made a statement aboard Airforce-1 suggesting that the US provide $20 Billion dollars in aid to Argentina in the form of beef purchases. Thus helping to bring down record setting beef prices for Americans.
Why this Doesn’t Matter
I used the term “suggested” because as of writing this, nothing has officially been done yet. Also, as with many things said by President Trump there is a gap between what is said and what actually will happen. So maybe we are talking about nothing, but maybe we are not. Welcome to the gray area that is 2025 politics, trade and information.
According to leading Ag economists the importation of $20 Billion in Argentine beef will amount to only about 2% of the total over-all imports of frozen beef to the US this year. That 2% increase in import is unlikely to make any change in the prices Americans pay for beef at the grocery store or when they buy direct from ranchers like us. That supply will most likely be absorbed without much notice of the beef market.
The US has seen record levels of beef imports in the last couple of years. High beef prices in the US incentivize packers and distributors to start looking for new sources of cheaper beef to keep their costs down and pad margins. Most of the beef imports came from Mexico, Canada, Australia, Brazil and New Zealand. Brazilian beef is currently subject to a 76.4% tariff, the highest of all those nations.
Why this Does Matter
Argentina is led by Javier Milei, a right wing neo-libertarian that has been working to “save” Argentina economically and desperately needs the aid. Brazil on the other hand is led by Lula deSilva a left wing populist who has been working to put Jair Bolsonaro in prison for corruption and denying his election defeat in 2022. Bolsonaro is the right wing former President of Brazil and friend of Trump. So putting a tariff on Brazil (left leaning) and propping up Argentina (right leaning) makes perfect sense. Perfect sense if we assume global politics is some kind of a scaled up version of Love Island or Game of Thrones. Hello global politics, the beef market has entered the chat.
I’m only speaking for myself here, but I got into the beef business to feed people. I don’t really give a shit about the President of Argentina (or Brazil for that matter).
If we wanted to increase beef imports would it be wiser to lower tariffs on beef from Mexico or Canada? Investing in the economic health of our North American neighbors may have a better outcome for the US long term. Or maybe we can arrange a deal where we can buy the naming rights of the Gulf of Mexico permanently in exchange for $20 Billion in hamburger. That way Trump gets the Gulf of America and beef imports in the same deal. Sounds like a win-win to me.
For a negligible increase in beef supply and no change in beef prices what do we receive? We receive South American beef. Beef that does not have the same quality or food safety standard as the US. Also beef that does not have the same track record for environmental stewardship or fair labor practices. For the record, Mariposa Ranch has cut down ZERO acres of rainforest to make cattle pasture. South America can’t really say that.
In the US there is NO REQUIREMENT for beef imported into the US to be labeled with its country of origin. If you want to be sure of where your beef is coming from. Know your source. Know your rancher.