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Pigs Can’t Fly: U.S. High-End Livestock Breeders Lose Millions in China Tariff Fallout

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.

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Cattle Markets - Elliott Dennis

Video: Cattle Markets - Elliott Dennis

The UADA released the latest cattle on feed report, which indicated a 2% decline in the number of cattle and calves on feed for slaughter in feedlots with capacities of 1,000 or more head, totaling 11.4 million head as of May 1st compared to the same time last year. Joining us this week to break down the latest UADA report is UNL Livestock Economist Elliott Dennis. Here is our conversation from Wednesday afternoon.