This seems like optimal usage of resources, reusing the unneeded parts of the dead animal to create something edible. This should be celebrated, and it's something humanity has done for centuries.
And its totally fine if people use the fatty trimmings to make sausage, like we've been doing for centuries.
It's not okay if we process the fatty trimmings, heat them, centrifuge them, and then add them to ground beef to lower the fat content to make it look like the product was made from better bits of the animal.
Using more of the animal is a good thing, but misleading customers is not the way to do that.