Tyson Foods is closing more beef plants, with plans to concentrate its beef business in three centrally located facilities.
The company announced Thursday it will end operations at its beef plant in Joslin, Illinois, and its case-ready facility in Eagle Mountain, Utah. Tyson also plans to sell its beef plant in Pasco, Washington.
Tyson said it will instead concentrate its beef operations around three facilities in the central United States: Dakota City, Nebraska; Holcomb, Kansas; and Amarillo, Texas.
“Tyson Foods is making strategic changes to its beef operations to position the company for long-term success,” the company said in a statement.
Tyson said the changes are necessary because of what it called “one of the most historic cattle shortages the country has ever experienced.”
The company said recent U.S. Department of Agriculture cattle inventory data, including continued limited heifer retention, indicates the supply constraints are likely to persist.
The announcement comes less than seven months after Tyson permanently closed its beef processing plant in Lexington, Nebraska.
That plant employed roughly 3,200 people and could process nearly 5,000 cattle per day, making it one of the largest beef plants in the country. Tyson closed the Lexington facility Jan. 20.
The Lexington closure has continued to reverberate through the community, where the Tyson plant had been one of the area’s largest employers.
For Nebraska cattle producers, however, Tyson’s latest announcement is notable because the company is retaining its Dakota City plant as one of its three central beef facilities.
Tyson said capacity from the plants being closed or sold will be shifted to facilities with more room to grow. The company also plans to eventually restore a second shift at its Amarillo plant as cattle become available.
“Collectively, these changes will allow the company to maintain a similar level of cattle harvesting across a more efficient and modern network,” Tyson said.
The restructuring reflects the unusual economics facing the beef industry.
Cattle supplies remain historically tight after years of herd liquidation. That has helped push cattle and beef prices to record levels, but it also means meatpackers are paying more for cattle while having fewer animals to run through their plants.
Tyson reported an adjusted operating loss of between $500 million and $650 million for its beef segment for fiscal 2026. The company said USDA projects domestic beef production will decline about 3% this fiscal year.
The National Cattlemen’s Beef Association said Tyson’s announcement illustrates the broader challenges facing cattle producers and the beef supply chain.
“While we are disappointed by these developments, they also reinforce the importance of rebuilding the nation’s cow herd and maintaining adequate processing capacity to support cattle producers, strengthen market opportunities, and ensure a resilient beef supply chain for the future,” NCBA CEO Colin Woodall said.
NCBA said the closure of the Joslin plant will significantly affect cattle producers, employees and rural communities in the Midwest.
The organization also said it appreciates Tyson’s decision to seek a buyer for the Pasco facility rather than close it outright.
The company said the restructuring is intended to allow Tyson to remain competitive while maintaining a similar overall level of cattle harvesting across its beef network.