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President Trump calls on DOJ to investigate the meatpacking industry over concerns about beef prices

President Trump remains focused on beef prices and has called on the Department of Justice to investigate potential anticompetitive practices in the meatpacking industry.

In an announcement on Truth Social late in the day Friday, the President said action must be taken immediately to “protect consumers, combat illegal monopolies, and ensure the corporations are not criminally profiting at the expense of the American people.”  He also said the administration would protect America’s ranchers.  Trump goes on to say, “majority foreign owned meat packers artificially inflate prices, and jeopardize the security of the nation’s food supply”.

In a follow-up post, the President called the substantial drop in cattle prices and the increase in boxed beef prices “fishy”.

There are four major companies, JBS USA, Tyson, Cargill, and National Beef Packing, who control about 85 percent of the U.S. processing sector.

The announcement was met with mixed reaction. 

R-CALF USA, a large cattle association, welcomed the announcement.  CEO Bill Bullard says the disconnect between cattle prices and beef prices is evidence of market failure.  Bullard says the organization wants to ensure cattle producers are receiving competitive prices for the cattle and consumers pay prices set by a competitive market rather than a monopolistic one.

Julie Anna Potts, President and CEO of the Meat Institute says despite the high consumer prices for beef, beef packers have been losing money because of the price of cattle is at record highs. She says U.S. beef processors welcome a fact-based discussion about beef affordability and how best to meet the needs of American consumers. The DOJ previously launched an investigation into meatpacking companies for price-fixing and price manipulation in 2020.