The United States has reopened a border crossing in Arizona to cattle from Mexico, a move by the Trump administration aimed at addressing persistently high beef prices. The U.S. Department of Agriculture stated that concerns about the spread of the New World screwworm have diminished sufficiently to permit cattle imports through the Douglas, Arizona crossing. The administration also plans to reopen other crossings in New Mexico and Texas over time.
This action follows President Donald Trump's announcement of allowing up to 331,000 tons of imported ground beef into the U.S. tariff-free for the next 90 days. The White House had previously cited the closure of the border to livestock imports from Mexico over a year ago as essential for containing the screwworm, a parasite that can harm cattle and other animals. However, this closure reportedly exacerbated a shortage of cattle available for slaughter in the U.S.
"The administration obviously has a lot of incentive to try to be able to say that they’re doing something about high beef prices in particular," said Derrell Peel, a professor of agribusiness at Oklahoma State University. "Beef has been singled out because it is an expensive product and because it’s just high profile."
The U.S. cattle herd has been shrinking for five years, reaching its smallest size in decades. On January 1, the U.S. cattle herd had dropped to 86.2 million head, the lowest figure in 75 years, according to USDA data. Beef prices have increased significantly faster than overall food prices over the past five years. The average price for a pound of ground beef rose nearly 57% from July 2021 to July 2026, reaching a peak of $6.90 in May. Similarly, the price for a pound of uncooked steak saw a 35% increase over the same period, reaching a record $13.06 per pound in July.
Despite the reopening of imports, economists are cautious about the immediate impact on consumer prices. Peel stated, "I don’t expect to see any measurable impact on cattle prices or beef prices soon." Glynn Tonsor, a professor of agricultural economics at Kansas State University, noted that increased efficiency within the U.S. beef industry, allowing for more meat per animal, has partially offset the effects of a smaller cattle supply.
The New World screwworm fly is considered a significant threat to the nation's $113 billion cattle industry. After being largely eradicated in the U.S., the fly reappeared in southern Mexico in late 2024 and advanced towards the U.S., with the first case in Texas since 1966 reported on June 3. Since then, more than 40 cases have been confirmed in southern Texas and southeastern New Mexico, affecting cattle, sheep, goats, and dogs.
U.S. Agriculture Secretary Brooke Rollins indicated that the phased reopening could begin with the Arizona crossing due to the strong animal health programs in the northern Mexican states of Sonora and Chihuahua. All animals will be inspected and certified free of the parasite before crossing the border. U.S. Senate Agriculture Committee Chair John Boozman described the USDA's approach as "careful, science-based" and emphasized the importance of restoring trade for U.S. cattle producers and the beef industry.
Factors contributing to the small U.S. herd include drought in cattle-producing regions and low cattle prices over the past two decades, according to David Anderson, a professor of agricultural economics at Texas A&M University. These conditions have forced ranchers to reduce their herds.
The shortage of cattle has also led to beef processing plants operating below capacity. Major processors like Tyson Foods and JBS USA have announced plant closures or reorganizations. Rebuilding the U.S. herd and lowering prices is expected to take years, as cows typically have only one calf per year, and breeding heifers further tightens the immediate food supply.