Tyson Foods closes Illinois and Utah facilities as historic cattle shortage drives up beef prices for consumers.
Tyson Foods announced the closure of two facilities in Illinois and Utah, along with the sale of a beef facility in Washington state, as the U.S. cattle supply hits a 75-year low. The closures will result in hundreds of layoffs, though economists suggest that the overall price of beef will not be significantly impacted because the country maintains excess processing capacity. Instead, rising beef prices are being driven by high demand and a general protein craze among consumers. While the industry faces a shortage, Donald Trump announced a deal to import 300,000 metric tons of beef at 25% below market prices without tariffs. The National Cattlemen’s Beef Association expressed disappointment with the government's approach, arguing that flooding the market with subsidized beef may not be the best way to rebuild the American cattle herd. Meanwhile, workers at the Tyson Foods plant in Joslin, Illinois, held a rally to protest the mass layoffs, demanding that the company address the workers' needs and win what is rightfully theirs.