Reuters    •   3 min read

Australia lifts biosecurity restrictions on US beef, AFR reports

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SYDNEY (Reuters) -Australia has lifted its biosecurity restrictions on beef imports from the U.S., the Australian Financial Review (AFR) reported on Thursday, likely removing a key concern for U.S. President Donald Trump's administration over bilateral trade.

Australia informed the U.S. of its decision after a review of the curbs it initiated more than 18 months ago, before Trump was elected for a second term, the AFR said in its report, citing an unidentified government source.

Australian Prime Minister

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Anthony Albanese's office did not immediately respond to a request for comment.

The AFR report said Albanese's Labor government will use the easing of rules to argue its case for the United States to wind back 50% tariffs on steel and aluminium and Trump's threat to impose a 200% tariff on pharmaceuticals.

Albanese in April had ruled out relaxing Australia's strict biosecurity rules during tariff talks with the United States.

Trump in April singled out the trade disparity on Australian beef after the country's beef exports to the United States surged last year, reaching A$4 billion ($2.64 billion) amid a slump in U.S. beef production.

Since 2003, Australia has curbed entry of U.S. beef after detecting bovine spongiform encephalopathy (BSE), or mad cow disease.

But Australia allows entry if the cattle were born, raised and slaughtered in the United States, though few shippers can prove these requirements, as cattle frequently move between the United States, Canada and Mexico.

Australia views its strict biosecurity rules as safeguarding its disease-free cattle, helping it preserve access to lucrative markets such as Japan and South Korea, while Australian beef is prized by U.S. fast food chains for its lower fat content and competitive prices.

($1 = 1.5152 Australian dollars)

(Reporting by Renju Jose in Sydney; Editing by Jamie Freed)

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