US Justice Department to launch probe into meatpacking giants over price manipulation claims

USA – The U.S. Justice Department has opened an investigation into leading meatpacking companies following accusations of collusion and price manipulation in the beef industry.

President Donald Trump on Friday directed the department to probe claims that packers have artificially driven up beef prices, which recently reached historic levels.

Attorney General Pam Bondi confirmed the investigation in a post on X, stating it is being led by Agriculture Secretary Brooke Rollins and Assistant Attorney General Gail Slater, who heads the department’s antitrust division.

Although officials did not name any specific targets, the probe is expected to examine major players such as Tyson Foods, Cargill, JBS USA, and National Beef Packing Company, which together process about 85% of the nation’s grain-fed cattle.

Trump announced on Truth Social that the Justice Department had been instructed to look into alleged “illicit collusion, price fixing, and manipulation” in the meatpacking sector.

The inquiry comes as high food prices continue to weigh on American consumers, with a recent Reuters/Ipsos poll showing 40% of voters citing the cost of living as their top election concern.

The Justice Department is also investigating whether egg producers have engaged in similar practices to inflate prices.

Beef prices have surged in 2025 following a prolonged drought that destroyed pastures and raised feed costs, forcing ranchers to shrink the national cattle herd to its smallest size in nearly 75 years.

According to the Bureau of Labor Statistics, the average retail price for a pound of ground chuck reached about US$6.33 in September, a 13.5% increase compared to last year.

Cargill declined to comment on the matter, while Tyson, JBS, and National Beef did not immediately respond to requests for comment.

Agriculture Secretary Rollins said in a statement that the administration seeks “transparency, accountability, and a fair market” for ranchers rather than profits for corporate middlemen.

However, the Meat Institute, representing the packers, defended the sector, arguing that while beef prices remain high for consumers, processors are struggling with record cattle prices.

JBS USA, one of the companies under scrutiny, is owned by Brazilian multinational JBS, while Marfrig Global Foods SA of Brazil holds a controlling stake in National Beef.

Ranchers’ groups and lawmakers from both parties have long criticized consolidation in the meat industry, saying it harms competition and distorts prices.

Tyson, Cargill, and JBS have previously paid millions of dollars to settle lawsuits alleging they conspired to raise beef prices by limiting supply, though they denied any wrongdoing.

Assistant Attorney General Slater, who oversees the antitrust division, has stated that her team will prioritize investigations into issues affecting consumers’ daily expenses, including food, housing, and transport.

Calls for tougher antitrust enforcement have continued to grow, with senators from both parties urging stronger oversight of the meatpacking sector.

In recent months, Trump has faced backlash from ranchers after urging them to lower cattle prices and suggesting increased imports of Argentine beef to reduce costs for consumers, a move economists say would have little impact on U.S. grocery prices.

Earlier this year, Trump imposed a 50% tariff on Brazilian imports, a decision that further restricted beef supplies already strained by domestic shortages.

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