In response to new tariffs imposed by President Trump, Canada will implement a 25% tariff on U.S. poultry and pork, with beef to follow soon. The move follows Trump’s decision to place tariffs on steel and aluminum imports from Canada and Mexico, reigniting tensions in North American trade.
Impact on U.S. Pork Exports
Canada and Mexico are two of the largest markets for U.S. pork, accounting for nearly 40% of total U.S. pork exports. In 2024, U.S. pork exports to Canada reached $871 million, while exports to Mexico hit a record $2.55 billion.
The National Pork Producers Council (NPPC) warned that these retaliatory tariffs could disrupt long-standing trade relationships built over decades. Mexican President Claudia Sheinbaum is also reportedly considering new tariffs on U.S. pork, given the importance of pork-producing states in U.S. politics.
Historical Precedent: Lessons from 2018-2019
During Trump’s previous term, Mexico imposed tariffs of up to 20% on U.S. pork, leading to a $1.13 billion loss in one year before a deal was reached in 2019. The U.S. Meat Export Federation warned that past trade disputes resulted in permanent market shifts, with Mexico diversifying its suppliers to reduce reliance on the U.S.
Farmer Concerns Over Tariffs
Farmers for Free Trade, a leading agricultural trade advocacy group, issued a strong statement against the tariffs, warning of significant harm to American farmers.
“Canada, Mexico, and China together buy half of all American ag exports. They are indispensable markets for the livelihood of the American ag economy. Placing tariffs on the three largest export markets will have severe consequences.”
— Bob Hemesath, Board Chairman, Farmers for Free Trade
The group further highlighted that record-high input costs, declining crop prices, and global supply gluts have already put pressure on U.S. farmers. The addition of new tariffs could further reduce profitability and give South American competitors an advantage in global pork markets.
What’s Next?
With Canada’s tariffs set to take effect Tuesday, and Mexico expected to follow soon, U.S. pork producers could face significant market disruptions. Experts warn that lost market share could be difficult to regain, particularly if trading partners diversify their suppliers in response to U.S. trade policy.
As tensions escalate, industry groups are urging the administration to reconsider the tariffs to avoid long-term damage to American agriculture.
Final Thoughts
For the U.S. pork industry, maintaining stable, predictable trade relationships is critical for profitability. While tariffs are intended to be a negotiating tool, history has shown that retaliatory measures often harm farmers more than they help U.S. industries.
Swine Web will continue to monitor developments and their impact on pork producers across North America.
