President Donald Trump on Friday accused foreign-owned meat packers of driving up the price of beef in the US and asked the Department of Justice to open an investigation.
The Republican president announced the move on social media days after his party suffered losses in key elections in which the winning Democratic candidates focused relentlessly on the public's concerns about the cost of living.
"I have asked the DOJ to immediately begin an investigation into the Meat Packing Companies who are driving up the price of Beef through Illicit Collusion, Price Fixing, and Price Manipulation," Trump wrote in the social media post.
"We will always protect our American Ranchers, and they are being blamed for what is being done by Majority Foreign Owned Meat Packers, who artificially inflate prices, and jeopardize the security of our Nation's food supply," he continued.
Beef prices have soared to record levels in part after drought and years of low prices led to the smallest US herd size in decades. Trump's tariffs on Brazil, a major beef exporter, have also curbed imports while demand for beef remains strong. Consumers don't seem to be trading their steaks and hamburgers for chicken or pork despite the prices.
Concentration in the meat packing business has also been a longtime concern for farmers and politicians on both sides of the aisle. Four major meat packing companies dominate the beef market in the United States.
JBS, which is based in Brazil, is the largest US beef producer and its second-largest producer of poultry and pork. Half of its annual revenue comes from the US, where it has more than 72,000 employees.
The company has faced price-fixing charges before. In 2022, JBS agreed to a $52.5 million settlement with grocery stores and wholesalers who accused JBS, Arkansas-based Tyson Foods and other companies of working together to suppress the number of cattle being slaughtered in order to drive up beef prices.
JBS did not admit wrongdoing as part of that settlement. Messages seeking comment were left Friday with JBS USA.
Oklahoma Sen. Markwayne Mullin said he and his fellow Republican senators Cindy-Hyde-Smith of Mississippi and Tim Sheehy of Montana visited the White House to speak with Trump about recent volatility in the beef market. Mullin said Trump agreed to have the Justice Department look at the issue.
Mullin blamed meat processors, saying that "we're seeing the same exact game play again out" as a 2019 lawsuit against large meatpackers for violating antitrust laws.
Last month, Trump suggested the US would buy Argentine beef to bring down stubbornly high prices for American consumers, angering US cattle ranchers.
Trump's accusations have renewed a bipartisan presidential fight against rising food prices.
Then-President Joe Biden talked with independent farmers and ranchers about initiatives to reduce food prices by increasing competition within the meat industry. And then-Vice President Kamala Harris, who Trump defeated in winning reelection last year, used her campaign to vow to crackdown on food producers and major supermarkets " price gouging."
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
