Topline
President Donald Trump said Thursday his administration intends to bring beef prices down “soon,” as their prices hit all time-highs and inflation for the meat significantly outpaces most other food products, though he did not offer details beyond saying the administration’s “magic” has led to a deal nearly coming together.
Trump made the comments during an appearance in the Oval Office on Thursday. (Photo by ANDREW CABALLERO-REYNOLDS/AFP via Getty Images)
AFP via Getty Images
Key Facts
Trump said in an Oval Office appearance, “I think we have a deal on beef that’s gonna bring the price of beef [down], that would be the one product that we would say is a little bit higher than we’d want it.”
The price of beef is “gonna be coming down pretty soon too,” Trump said. “We did something, we worked our magic.”
The average price for ground beef reached an all-time high average of $6.31 a pound in August, marking a 1% rise from the previous month and a 14% increase since the start of the year, according to the Bureau of Labor Statistics.
The price of beef and veal rose nearly 14% between August 2024 and August 2025, the Bureau of Labor Statistics reported, with uncooked steak prices rising 16.6%.
Inflation for beef over that time period was far higher than overall inflation (2.9%) and inflation specifically for groceries (2.7%).
Lean and extra lean ground beef prices are also up, reaching $7.95 a pound on average in August, an 8% increase from January.
Get Forbes Breaking News Text Alerts: We’re launching text message alerts so you’ll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.
Big Number
The consumer price index for all food increased 0.4% month-over-month in August, with costs of beef and veal, other meats and fresh vegetables experiencing the largest jolts, according to the Department of Agriculture.
Surprising Fact
One of the few grocery products outpacing beef in terms of inflation is coffee, which has risen more than 20% in the past year as Trump’s tariffs take aim at some of the top-producing countries.
Tangent
Americans’ sentiment on the economic outlook hit its third-straight declining month in October (55), falling below Wall Street’s consensus of 55.8, according to a University of Michigan survey, which also found Americans expect inflation to rise to 4.6% over the next year.
Key Background
Beef prices have been greatly impacted by cattle shortages fueled by “drought, inflation, labor shortages and market instability,” according to MarketWatch, which cited Conner Hackett, general manager at Stemple Creek Ranch in California. Weekly cattle slaughter in late July and part of August slowed to its lowest point in 10 years, according to a Department of Agriculture report. Beef exports have also taken a hit, with 211 million pounds sent out in July, a 19% drop year-over-year—though beef imports in June climbed 13% year-over-year. The Department of Agriculture reported slightly downward beef production forecasts for 2025 last month.
Further Reading
Economic Pessimism Remains High Among Americans, Survey Says (Forbes)
Albertsons Shares Soar 14% After Grocer Raises Sales And Profit Outlook (Forbes)