Tyson to Close More Beef Plants as Cattle Shortage Drags On

Tyson Foods Inc. is set to close several beef plants in the US, including facilities in Illinois and Utah, and is pursuing the sale of another plant in Washington. The move is a response to the historic US cattle shortage, which has driven up livestock costs and deepened beef-segment losses. Tyson plans to consolidate beef production around plants in Nebraska, Kansas, and Texas. The company had previously taken steps to reduce capacity, but those actions did little to offset steep operating losses. Tyson’s daily slaughter capacity is estimated to have dropped by about 10,000 heads since the start of 2025. The closures come as the domestic cattle herd remains near the lowest level in about five decades, raising prices for the animals that meatpackers buy. The USDA recently announced a plan to resume live cattle imports from Mexico, which is expected to be beneficial to meatpackers longer term. Despite the losses across the beef industry, meatpackers have faced increased antitrust scrutiny amid higher consumer prices.