Updated
Updated · WRAL News · Jun 16
U.S. May Inflation Tops 4% as Beef Hits $6.90 a Pound on 75-Year Low Herds
Updated
Updated · WRAL News · Jun 16

U.S. May Inflation Tops 4% as Beef Hits $6.90 a Pound on 75-Year Low Herds

2 articles · Updated · WRAL News · Jun 16

Summary

  • May consumer prices rose more than 4% from a year earlier, with beef far outpacing overall inflation and retail ground beef climbing 19% since March 2025 to $6.90 per pound.
  • A 75-year low in U.S. cattle supply is driving the surge after prolonged drought forced herd sell-offs, while tariffs on steel, aluminum and fertilizer lifted costs for ranchers and feed producers.
  • Restaurants are getting squeezed first: Smash Masters said wholesale ground beef rose another 20 cents a pound in the past week, forcing cuts elsewhere as some customers balk at menu prices.
  • Ranchers are only now seeing the upside, with one North Carolina farm getting $2 more per pound for cattle than a year ago even as drought still strains its 350-acre operation.
  • Economists expect beef prices to stay elevated through next summer, with summer grilling demand holding up for now before consumers may shift toward cheaper proteins such as chicken.

Insights

Amid drought and disease, are record-high beef prices the new normal for American consumers?
With billions in government aid flowing to farms, why do consumers face skyrocketing beef prices?
How will a new screwworm outbreak and trade bans reshape the future of American beef?