US Antitrust Watchdog Widens Beef Price Inquiry to Eight Major Retailers
The US Justice Department has expanded its beef price investigation, sending letters to eight major retailers including Walmart, Costco, and Amazon.
The U.S. Department of Justice (DOJ) has broadened its antitrust investigation into beef pricing, reaching out to eight major retailers with information requests. The move, announced on Wednesday via the department's official social media channel, signals a deeper look into the gap between farm-gate prices and what consumers pay at the checkout.
Associate Attorney General Stanley Woodward has dispatched letters concerning the recent surge in retail beef prices. The recipient list includes retail giants Walmart, Costco, and Amazon, alongside major grocery chains such as Kroger, Albertsons, Aldi, Publix, and Ahold Delhaize USA.
The expanded probe follows a directive from President Donald Trump, who accused large meatpacking companies of manipulating and colluding to drive up beef prices. The DOJ's antitrust division has been conducting a criminal investigation into the conduct of these major processors.
This scrutiny comes against a backdrop of high concentration in the meatpacking industry. Tyson Foods, Cargill, JBS USA, and National Beef Packing Company collectively account for the slaughter of approximately 85% of U.S. grain-fattened cattle that end up as supermarket steaks and roasts.
The investigation is particularly salient for consumers, as U.S. beef prices reached a record high in May. This has added further strain to household budgets already pressured by rising living costs, which have been exacerbated by soaring gasoline prices linked to the Middle East conflict.
In a related development, Tyson Foods agreed earlier this year to pay $82.5 million to settle a class-action lawsuit from grocers and businesses that accused it of conspiring to inflate beef prices by restricting supply. The eight retailers named in the latest letters had not issued public comments at the time of this report.