U.S. Beef Demand Slips as Prices Hit Record Levels, Consumers Turn to Chicken

After two years of soaring beef prices, U.S. consumers are finally pulling back, with sales slipping 0.3% in the summer period that normally boosts grilling demand. Ground beef prices hovered around $7.116 a pound, marking a 9.4% increase from July 2025 but the slowest annual jump in over a year. The decline comes as the national cattle herd stays near its lowest level in five decades, tightening supply despite increased imports from Argentina and the resumption of live cattle shipments from Mexico.

Tyson Foods announced another plant closure, adding pressure to the market, while wholesale beef futures fell to nine-month lows. Chicken purchases continue to rise, supported by plentiful supply and lower prices. Fast-food chains such as Shake Shack and Restaurant Brands International expect modest relief from beef inflation later in the year, though full price reductions may not appear until the third quarter.