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Why America’s ‘Beautiful Beef’ Is a Trade War Sore Point for Europe

by Investor News Today
May 11, 2025
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Why America’s ‘Beautiful Beef’ Is a Trade War Sore Point for Europe
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Hendrik Dierendonck, a second-generation butcher who has change into, as he describes it, “world well-known in Belgium” for his curated native beef, thinks Europe’s approach of elevating cattle ends in various and scrumptious cuts that European shoppers prize.

“They need hormone-free, grass-fed,” Mr. Dierendonck defined not too long ago as he reduce steaks at a bloody chopping block in his Michelin-starred restaurant, which backs onto the butchery his father began within the Nineteen Seventies. “They need to know the place it got here from.”

Strict European Union meals rules, together with a ban on hormones, govern Mr. Dierendonck’s work. And people guidelines might flip right into a trade-war sticking level. The Trump administration argues that American meat, produced with out comparable rules, is healthier — and desires Europe to purchase extra of it, and different American farm merchandise.

“They hate our beef as a result of our beef is gorgeous,” Howard Lutnick, the commerce secretary, stated in a televised interview last month. “And theirs is weak.”

Questions of magnificence and power apart, the administration is correct about one factor: European policymakers are usually not eager on permitting extra hormone-raised American steaks and burgers into the European Union.

Additional opening the European market to American farmers is only one ask on a laundry listing of requests from the Trump workforce. American negotiators additionally need Europe to purchase extra American fuel and vans, to vary their consumption taxes and to weaken their digital rules.

Commerce officers inside the European Union are prepared to make many concessions to avert a painful and protracted commerce battle and to avert larger tariffs. They’ve provided to drop automobile tariffs to zero, to purchase extra fuel and to extend army purchases. Negotiators have even suggested they might purchase extra of sure agricultural merchandise, like soy beans.

However Europeans have their limits, and people embrace America’s handled T-bones and acid-washed rooster breasts.

“E.U. requirements, notably as they relate to meals, well being and security, are sacrosanct — that’s not a part of the negotiation, and by no means shall be,” Olof Gill, a spokesman for the European Fee, the E.U. administrative arm, stated at a latest information convention. “That’s a pink line.”

It’s not clear how severe the Individuals are about pushing for farm merchandise like beef and rooster. However the subject has surfaced repeatedly. When U.S. officers unveiled a commerce cope with Britain on Thursday, for example, beef was part of the settlement.

However in accordance with Britain, the deal would merely make it cheaper for Individuals to export more hormone-free beef to the nation and wouldn’t weaken British well being and security guidelines, that are just like these within the E.U.

Relating to the European Union, the US can already export a considerable amount of hormone-free beef with out going through tariffs, so an equal deal would do little to assist American farmers.

However diplomats and European officers have repeatedly insisted that there isn’t any wiggle room to decrease these well being and security requirements. And on the subject of meat-related commerce restrictions extra broadly, there may be little or no. Rooster, for example, faces comparatively excessive tariffs, and there may be restricted urge for food to decrease these charges.

That’s as a result of Europe is protecting of each its meals tradition and its farms.

The place America tends to have huge agricultural companies, Europeans have maintained a extra sturdy community of smaller household operations. The 27-nation bloc has about nine million farms, in contrast with about two million in the US.

Subsidies and commerce restrictions assist to maintain Europe’s agricultural system intact. The European Union allocates an enormous chunk of its price range to supporting farmers, and a mixture of tariffs and quotas restrict competitors in delicate areas. E.U. tariffs on agricultural merchandise are round 11 percent total, based mostly on World Commerce Group estimates, although they fluctuate massively by product.

And the bloc might place higher tariffs on U.S. farm items if commerce negotiations fall by way of. Their listing of merchandise that might face retaliatory levies, printed Thursday, contains beef and pork, together with many soy merchandise and bourbon.

Nevertheless it’s not simply tariffs limiting European imports of American meals. Strict well being and security requirements additionally maintain many overseas merchandise off European grocery cabinets.

Take beef. Mr. Dierendonck and different European farmers are banned from utilizing development stimulants, not like in the US, the place cattle are sometimes raised on giant feedlots with the usage of hormones. European security officers have concluded that they cannot rule out well being dangers for people from hormone-raised beef.

To Mr. Dierendonck, the principles additionally match European preferences. The dearth of hormones ends in a much less homogenous product. “Each terroir has its style,” he explains, describing the distinctive “mouth really feel” of the West Flemish Pink cow he raises on his farm on the Belgian coast.

However farming beef with out hormones is dearer. And American exporters have to stick to hormone limitations once they ship steaks, hamburgers or dairy merchandise to E.U. nations, which European farmers argue is barely honest. In any other case, imports produced utilizing cheaper strategies might put European farmers out of enterprise.

“We can’t settle for import merchandise that don’t meet our manufacturing requirements,” stated Dominique Chargé, a cattle farmer from the west of France who can be president of La Coopération Agricole, a nationwide federation representing French agricultural cooperatives.

The result’s that the US doesn’t promote a lot beef to Europe. It makes extra financial sense for U.S. farmers to promote into markets that enable hormone-raised cattle.

One frequent American grievance is that European well being requirements are extra about choice than precise well being.

American scientists have known as the dangers of hormone use in cows minimal. And although E.U. officers and shoppers ceaselessly sneer at America’s “chlorinated chickens,” that rallying cry is a bit dated. American farmers have for years been utilizing a vinegar-like acid, and never chlorine, to rinse poultry and kill potential pathogens.

Some studies in Europe have recommended that such remedies are usually not a alternative for elevating a rooster in a approach that makes it pathogen-free from the beginning. American scientists have concluded that the rinses do their job and are usually not dangerous to people.

“I don’t know that it’s actually concerning the science,” stated Dianna Bourassa, a microbiologist specializing in poultry at Auburn College. “In my microbiological opinion, there aren’t any well being implications.”

From the attitude of European farmers, although, whether or not the well being dangers are real is in addition to the purpose. As long as European voters oppose chemical-treated rooster and hormone-treated beef, Europe’s farmers can’t use these farming methods.

“Once you communicate to our farmers, it’s about equity,” defined Pieter Verhelst, a member of the manager board of a Belgian farmers’ union, Boerenbond. “The coverage framework we begin with is completely completely different, and people points are largely completely out of the palms of farmers.”

And European shoppers do appear to assist E.U. meals and farming guidelines.

Farmer protests final yr loudly opposed extra beef imports from South American nations, partly over considerations that the cows may be raised with a development hormone. An Obama-era commerce deal died partly due to common anger over “chlorine rooster” (“Chlorhünchen,” to derisive Germans.)

E.U. public opinion polling has recommended that insurance policies that promote farming and farmers are extremely popular. In a 2020 ballot fielded in-person throughout the bloc, practically 90 % of Europeans agreed with the concept agricultural imports “ought to solely enter the E.U. if their manufacturing has complied with the E.U.’s environmental and animal welfare requirements.”

In Europe, together with at Mr. Dierendonck’s butchery and farm, there’s a price positioned on the old school, small-scale approach of doing issues, policymakers and farmers agreed. Mr. Dierendonck does purchase some American beef for patrons who ask for it — it’s simple to cook dinner, he stated — nevertheless it’s a small a part of the enterprise.

“I like American beef very a lot, however I don’t prefer it an excessive amount of,” stated Mr. Dierendonck, explaining that to him, the meat his European suppliers present is various, like a fantastic wine. “For me, it’s about retaining traditions alive.”



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