Gelonghui, December 11 | According to Bloomberg, the USA beef industry is currently facing a severe crisis, with the cattle herd shrinking to its lowest point in 64 years, and beef prices are expected to keep rising, putting pressure on consumers from food inflation. The inventory of beef cattle in the USA continues to decline, reaching its lowest level since 1961. Since peaking in 1975, the number of cattle in the USA has decreased by nearly 40%. The current decline cycle began in 2020, and the rate of herd reduction is the fastest since the agricultural crisis of the 1980s. Severe drought, high interest rates, and expensive fodder have contributed to the current herd reduction. Drought has led to poor pasture yields, increasing feeding costs, forcing ranchers to reduce their livestock numbers. High interest rates have raised borrowing costs for ranchers, making it more difficult to expand breeding operations. Derrell Peel, a professor of agricultural economics at Oklahoma State University, believes that the negative impact of the Trump administration's policies on the beef industry may outweigh the positives, and he anticipates a bleak outlook for the USA beef industry's development over the next 2-4 years. Bill Bullard, CEO of the National Cattlemen's Beef Association, stated that although tariff policies may lead to short-term increases in beef prices, in the long run it could encourage investment to rebuild the USA cattle herd and reduce dependence on imported beef, ultimately benefiting consumers. Donnie King, CEO of Tyson Foods, expressed uncertainty about when the USA cattle herd size will begin to recover.