Business & Finance
US begins phased reopening of Mexican border to cattle imports amid high beef prices
Agricultural economists doubt the move will immediately lower consumer prices, citing a U.S. cattle herd at a 75-year low.
The short version
- The U.S. Department of Agriculture is initiating a phased reopening of border crossings to Mexican cattle, starting in Douglas, Arizona, following a May 2025 closure over screwworm parasite concerns.
- Economists expect minimal near-term impact on grocery store prices, noting that rebuilding the diminished U.S. cattle supply will take years.
- The U.S. cattle herd shrank to 86.2 million head in January 2026—its lowest point in 75 years—driven by persistent drought and historical low prices.
- To counter record beef costs, President Donald Trump announced a temporary 90-day measure allowing up to 331,000 tons of tariff-free imported ground beef into the market.
Key facts
- The U.S. Department of Agriculture planned to start reopening the border to Mexican livestock at Douglas, Arizona, with future plans to expand to crossings in New Mexico and Texas.[Associated Press]
- The U.S. cattle herd fell to 86.2 million head as of Jan. 1, 2026, marking its smallest size in 75 years.[Associated Press]
- Average U.S. ground beef prices reached $6.89 per pound in July 2026, up nearly 57% from July 2021, while uncooked steak hit a record $13.06 per pound.[Associated Press]
- President Donald Trump announced an allowance of up to 331,000 tons of tariff-free imported ground beef over a 90-day period.[Associated Press]
- More than 40 screwworm infestations have been confirmed across southern Texas and southeastern New Mexico since June 2026.[Associated Press]
- Major meat processors including Tyson Foods and JBS USA have recently shut down or announced plans to close several processing plants due to cattle shortages.[Associated Press]
What remains uncertain
- The timeline for fully restoring Mexican cattle import volumes to historic levels of 1.1 million head per year remains uncertain under the phased USDA plan.[Associated Press]
- It is unclear when retail beef prices will stabilize or decrease, as economists emphasize that rebuilding national herds naturally takes multiple years.[Associated Press]