Latest news with #MikeLemmon
Economic Times
22-05-2025
- Business
- Economic Times
How China is using pigs to strike back at the U.S. in Trump-era trade war
U.S. farmers are facing significant losses due to the trade war with China, impacting niche export markets like breeding pigs and cattle semen. A deal for Dr. Mike Lemmon's pigs fell through after China imposed retaliatory tariffs, leading to financial setbacks and jeopardizing established trade relationships. Tired of too many ads? Remove Ads Tired of too many ads? Remove Ads In the escalating trade war sparked by former U.S. President Donald Trump , China has found an unlikely pressure point: Trump imposed sweeping tariffs on Chinese goods, Beijing responded in April with retaliatory measures—one of which included slapping heavy tariffs on American breeding pigs and other forms of livestock genetic material. The move has severely disrupted a once-thriving niche export market and cost U.S. businesses to a Reuters report, China—one of the largest buyers of American breeding pigs and cattle semen—has significantly scaled back its imports. These exports, vital to U.S. livestock producers, had been growing steadily before the trade conflict the U.S., some farmers raise pigs exclusively for breeding—an elite segment within the $37 billion hog industry. These pigs are bred for superior genetics, helping produce large, healthy litters destined to become high-quality has been a major buyer of such pigs, especially since 2018, when African swine fever devastated its domestic hog population. With nearly half of the world's pigs raised on Chinese farms, demand for healthy American breeding stock soared—until tariffs brought that trade to a near damage hasn't stopped with pigs. China had also been the largest buyer of U.S. cattle semen, which is used to improve the genetics of dairy cows known for their high milk output. But that market, too, has vanished."Not one unit of semen is going to China right now," Jay Weiker, president of the National Association of Animal Breeders, told Reuters. He noted that China once accounted for 25% of all U.S. cattle semen demand for high-quality dairy genetics surged after a 2008 milk scandal left six children dead and nearly 300,000 others sick. A Chinese manufacturer had added melamine—a toxic chemical—to milk powder to falsely boost protein readings. In the aftermath, China began importing vast quantities of American cattle semen to improve safety and productivity in its dairy those deals are frozen—literally. Brittany Scott, owner of SMART Reproduction Services in Arkansas, said many international buyers have backed out of orders, leaving her facility stocked with vials of unsold sheep and goat semen stored in tanks of liquid sales have plummeted since the tariffs were imposed.'The lost business has been a punch in the gut,' she a temporary pause in tariffs, exporters remain skeptical about the future. Many fear that once-reliable trade partners like China may permanently shift to suppliers in countries like Denmark, which are seen as more stable and politically now, the fallout from the trade war continues to ripple across America's heartland—where even pigs are caught in the crossfire.
Reuters
22-05-2025
- Business
- Reuters
Trump trade war costs US farmers lucrative Chinese export market for breeding pigs, cattle semen
CHICAGO, May 22 (Reuters) - Dr. Mike Lemmon's pigs, each valued between $2,500 and $5,000, were supposed to be on a plane bound for Hangzhou, China, from St. Louis in April, where'd they spend the flight snoring, play fighting and snacking on oats and husked corn before taking up residence at Chinese hog farms. Instead, many went to a local Indiana slaughterhouse for less than $200 each after the Chinese buyer canceled the order within a week of China implementing retaliatory tariffs against the U.S. in April. China is one of the biggest importers of American breeding pigs and other livestock genetic material such as cattle semen. These lucrative niche export markets had been growing, but dried up since U.S. President Donald Trump started a trade war with Beijing. U.S. farmers and exporters said the dispute has already cost them millions of dollars and jeopardized prized trade relationships that took years to develop. Though Washington and Beijing agreed to pause tariffs last week, exporters said Trump's unpredictable trade policy has caused their companies long-term damage and could encourage China and other major buyers to turn to foreign rivals like Denmark. "We've got brand damage now. There's not a week that goes by without clients asking what's happening with the U.S.," said Tony Clayton, owner of Clayton Agri-Marketing, a Missouri-based livestock exporting company. "I don't know how we can put this back together. This is long-term damage," he said. White House spokesperson Kush Desai said the administration was "working around the clock to secure billions of dollars in even more opportunities with our other trading partners." Some farmers raise pigs specifically for breeding, a niche business within the $37 billion U.S. hog industry. Farmers pay top dollar for these specialty pigs, which have favorable genetics to produce lots of healthy piglets that can eventually be processed into tasty, high-quality pork. Lemmon, an Indiana veterinarian and farm owner, has been selling pigs worldwide for over 30 years. He said he spent more than a year working on the $2.4 million sale of the pedigreed pigs to China. He noted they were carefully bred for good health, litter size and high fat content that leads to richly marbled, tender meat when cooked. "It's devastating when it happens," Lemmon said, referencing the sale he lost. He said he plans to stay in the breeding business, and is working to rekindle the deal with his Chinese buyer during the tariff pause. Roughly half of the world's pigs live on Chinese farms. The country has purchased large quantities of breeding pigs from the U.S. since an outbreak of African swine fever, a virus with a near-total fatality rate, wiped out millions of the country's hogs in 2018. Shipping livestock is lucrative but time-consuming. Shippers must personally fly with the animals or hire an on-board attendant who can make the rounds to keep their pricey passengers well-hydrated and comfortable during a long flight. When not working, the attendants chat with the flight crew or sometimes lie in sleeping bags next to the animals in the chilly cargo bay, exporters and farmers said. China has also been the biggest importer of semen from U.S. dairy cows, known for producing large amounts of protein-rich milk. But 'Not one unit of semen is going to China right now,' Jay Weiker, president of the National Association of Animal Breeders, said, noting China had been importing one-quarter of all U.S. cattle semen, which they use to artificially inseminate their dairy cows. The Chinese milk industry began importing large amounts of cattle semen to improve the genetics of domestic dairy cows after a deadly scandal over contaminated milk in 2008, Weiker said. At least six children in China died and nearly 300,000 fell ill after a Chinese manufacturer added melamine, a dangerous chemical, to milk powder to make the protein levels appear higher. Brittany Scott, owner of SMART Reproduction Services, a sheep and goat genetics company, said several foreign customers had also pulled out of deals. This left many vials of semen sitting in her Arkansas facility, frozen in tanks of liquid nitrogen and waiting for buyers. 'They are eager to do their jobs,' Scott said of her male goats and sheep. 'They understand the assignment and they do really well.' However, the work of selling their product has proven harder after Trump announced sweeping tariffs in April, and China retaliated. The lost sales have been "a punch in the gut,' Scott said.
Hindustan Times
22-05-2025
- Business
- Hindustan Times
Pigs can't fly: US high-end livestock breeders lose millions in China tariff fallout
* Breeding pigs are a small but profitable niche for US exporters * US farmers worry China could now buy breeding pigs from Denmark * China also has halted imports of US cattle semen for dairy cows * White House seeks new customers, farmers see lasting damage CHICAGO, - Dr. Mike Lemmon's pigs, each valued between $2,500 and $5,000, were supposed to be on a plane bound for Hangzhou, China, from St. Louis in April, where'd they spend the flight snoring, play fighting and snacking on oats and husked corn before taking up residence at Chinese hog farms. Instead, many went to a local Indiana slaughterhouse for less than $200 each after the Chinese buyer canceled the order within a week of China implementing retaliatory tariffs against the U.S. in April. China is one of the biggest importers of American breeding pigs and other livestock genetic material such as cattle semen. These lucrative niche export markets had been growing, but dried up since U.S. President Donald Trump started a trade war with Beijing. U.S. farmers and exporters said the dispute has already cost them millions of dollars and jeopardized prized trade relationships that took years to develop. Though Washington and Beijing agreed to pause tariffs last week, exporters said Trump's unpredictable trade policy has caused their companies long-term damage and could encourage China and other major buyers to turn to foreign rivals like Denmark. "We've got brand damage now. There's not a week that goes by without clients asking what's happening with the U.S.," said Tony Clayton, owner of Clayton Agri-Marketing, a Missouri-based livestock exporting company. "I don't know how we can put this back together. This is long-term damage," he said. White House spokesperson Kush Desai said the administration was "working around the clock to secure billions of dollars in even more opportunities with our other trading partners." Some farmers raise pigs specifically for breeding, a niche business within the $37 billion U.S. hog industry. Farmers pay top dollar for these specialty pigs, which have favorable genetics to produce lots of healthy piglets that can eventually be processed into tasty, high-quality pork. Lemmon, an Indiana veterinarian and farm owner, has been selling pigs worldwide for over 30 years. He said he spent more than a year working on the $2.4 million sale of the pedigreed pigs to China. He noted they were carefully bred for good health, litter size and high fat content that leads to richly marbled, tender meat when cooked. "It's devastating when it happens," Lemmon said, referencing the sale he lost. He said he plans to stay in the breeding business, and is working to rekindle the deal with his Chinese buyer during the tariff pause. Roughly half of the world's pigs live on Chinese farms. The country has purchased large quantities of breeding pigs from the U.S. since an outbreak of African swine fever, a virus with a near-total fatality rate, wiped out millions of the country's hogs in 2018. Shipping livestock is lucrative but time-consuming. Shippers must personally fly with the animals or hire an on-board attendant who can make the rounds to keep their pricey passengers well-hydrated and comfortable during a long flight. When not working, the attendants chat with the flight crew or sometimes lie in sleeping bags next to the animals in the chilly cargo bay, exporters and farmers said. China has also been the biggest importer of semen from U.S. dairy cows, known for producing large amounts of protein-rich milk. But 'Not one unit of semen is going to China right now,' Jay Weiker, president of the National Association of Animal Breeders, said, noting China had been importing one-quarter of all U.S. cattle semen, which they use to artificially inseminate their dairy cows. The Chinese milk industry began importing large amounts of cattle semen to improve the genetics of domestic dairy cows after a deadly scandal over contaminated milk in 2008, Weiker said. At least six children in China died and nearly 300,000 fell ill after a Chinese manufacturer added melamine, a dangerous chemical, to milk powder to make the protein levels appear higher. Brittany Scott, owner of SMART Reproduction Services, a sheep and goat genetics company, said several foreign customers had also pulled out of deals. This left many vials of semen sitting in her Arkansas facility, frozen in tanks of liquid nitrogen and waiting for buyers. 'They are eager to do their jobs,' Scott said of her male goats and sheep. 'They understand the assignment and they do really well.' However, the work of selling their product has proven harder after Trump announced sweeping tariffs in April, and China retaliated. The lost sales have been "a punch in the gut,' Scott said.
