The U.S. Department of Justice has expanded its investigation into soaring beef prices, seeking information from eight of the country’s largest grocery retailers as concerns grow over the affordability of beef for American consumers.
The DOJ has sent letters to Kroger, Publix, Walmart, Albertsons, Aldi, Ahold Delhaize USA, Costco and Amazon, requesting information about their beef pricing, costs, profit margins and purchasing practices.
The investigation is examining whether anti-competitive practices may have contributed to persistently high retail beef prices.
Beef prices have continued to rise significantly faster than overall inflation and have outpaced price increases for other major meat categories, including poultry and eggs.
Economics professor Tucker Omberg said the increase consumers are seeing at grocery stores is reflected in federal price data.
However, wholesale beef prices—the prices retailers pay suppliers—have also been increasing at a rate similar to retail prices. This could indicate that factors beyond grocery-store pricing practices are contributing to the higher costs.
The DOJ’s inquiry into grocery retailers follows an investigation launched in May involving the country’s largest beef processors.
JBS, Cargill, Tyson Foods and National Beef collectively account for more than 85% of U.S. beef processing, according to the Justice Department.
The high level of concentration in beef processing has raised concerns about competition within the industry. Economists have pointed to potential meatpacker market power, along with other factors, as possible contributors to higher beef prices.
Several factors are putting additional pressure on the U.S. beef supply and prices.
These include drought and wildfire conditions in cattle-producing regions, higher energy costs, tariffs and restrictions on live cattle imports from Mexico because of New World Screwworm.
The combination of tighter cattle supplies and higher production costs has contributed to elevated beef prices, although the relative impact of each factor remains difficult to determine.
On August 26, President Donald Trump signed a proclamation increasing the amount of lean beef trimmings that can enter the United States at lower tariff rates.
The measure adds 300,000 metric tons to the in-quota quantity for the remainder of 2026. The additional imports are scheduled to be released in three 30-day tranches of 100,000 metric tons each in September, October and November.
The administration said the move is intended to help improve beef affordability and increase supply.
The proclamation also includes a price-monitoring provision. If imported lean beef trimmings are not being sold at least 25% below prevailing market prices, the administration could cancel the remaining import quotas.
While the expanded investigation could provide greater insight into why beef prices remain elevated, economists do not expect the retail investigation alone to result in an immediate drop in prices.
The DOJ’s broader investigation into beef processors, combined with increased imports and changing supply conditions, could ultimately have a greater impact on what consumers pay at grocery stores.