Tyson Foods (TSN.N), opens new tab will close a major beef plant in Lexington, Nebraska, with about 3,200 employees in January after U.S. cattle supplies dropped to their lowest level in nearly 75 years, the meatpacker said on Friday.
Tyson Foods (TSN.N), opens new tab will close a major beef plant in Lexington, Nebraska, with about 3,200 employees in January after U.S. cattle supplies dropped to their lowest level in nearly 75 years, the meatpacker said on Friday.
The closure in the heart of cattle-feeding country signaled that supplies will remain tight, forcing meatpackers to pay steep prices for cattle to process into steaks and hamburgers.
Beef prices have set records due to low supplies and strong demand, raising costs for consumers. President Donald Trump said last month that he was working to bring down prices.
Tyson said it will also reduce operations at a beef plant in Amarillo, Texas, to a single, full-capacity shift, affecting about 1,700 workers.
"Tyson Foods recognizes the impact these decisions have on team members and the communities where we operate," the company said in a statement.
Tyson said the changes were expected around January 20 and that it will increase production at other facilities to meet customer demand.
