The new three-trigger safeguard mechanism will reportedly allow U.S. exporters to meet Japan’s growing demand for high-quality beef and reduce the probability that Japan will impose higher tariffs in the future. 

Vilsack said: “This is a positive development for America’s farmers and ranchers. It allows for greater market-based growth in U.S. beef exports to Japan and reduces the probability of higher Japanese tariffs being imposed on U.S. goods.

“America’s farmers and ranchers have beef products that can compete anywhere in the globe and this announcement will allow them to demonstrate just that. I want to thank Ambassador Rahm Emanuel, Ambassador Katherine Tai and the entire team at USTR for their work to get this deal across the finish line.” 

The new three-trigger mechanism under the agreement means that all three triggers must be hit in order for Japan to impose a higher tariff. They are:

Imports from the United States must exceed the original beef safeguard trigger level under the U.S.-Japan Trade Agreement

The aggregate volume of beef imports from the United States and the original signatories of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) must exceed the CPTPP beef safeguard

Imports from the United States must exceed the total amount of beef imports from the United States during the previous year.

Source: International Leather Maker