Tyson Foods is closing its beef plant in Lexington, Nebraska and reducing a shift at its Amarillo, Texas facility. The closures come as Tyson loses millions due to the smallest U.S. cattle herd in decades. American consumers are paying record-high beef prices because meat packers have to pay more to buy fewer cattle.
The Trump administration has tried to ease beef shortages by increasing imports from countries like Brazil and Argentina, but retail prices remain high, as per the report by Bloomberg. Tyson expects huge losses in its beef business — up to $600 million in fiscal 2026, after losing $720 million over the past two years.
State Sen. Teresa Ibach said she is “saddened to learn that Tyson has decided to close its Lexington facility.” She noted local producers depend on Tyson to buy cattle and market beef, and hopes a new buyer can take over.
U.S. Sen. Deb Fischer called the news “extremely disappointing.” She said Tyson is Lexington’s largest employer and its closure will deeply affect the community, region, and state. Fischer highlighted the volatile cattle market, noting Tyson once made windfall profits while much of the industry struggled.
She urged Tyson to support affected families during the holiday season after what she called a “short-sighted decision”. Tyson has not announced a timeline for the Lexington closure.
Tyson is closing the plant to “right-size” its beef business after losing millions due to a smaller U.S. cattle herd.
Q2. How many workers will be affected by Tyson’s plant changes?
About 3,200 workers in Lexington and 1,700 in Amarillo will be impacted by the closures and shift reductions.
The Trump administration has tried to ease beef shortages by increasing imports from countries like Brazil and Argentina, but retail prices remain high, as per the report by Bloomberg. Tyson expects huge losses in its beef business — up to $600 million in fiscal 2026, after losing $720 million over the past two years.
Tyson cuts jobs at beef plants
Tyson says it wants to “right-size its beef business” by closing Lexington and switching Amarillo to a single shift. About 3,200 workers in Lexington and 1,700 in Amarillo will be affected by the changes. The Lexington plant is one of Tyson’s largest slaughter facilities, able to process nearly 5,000 cattle per day.Company plans to shift production
Tyson plans to increase production at other beef facilities to meet customer demand and optimize overall volumes. The company acknowledges the impact on employees and local communities in a press release, as per the report by Rural Radio. Nebraska officials responded quickly to the announcement.State Sen. Teresa Ibach said she is “saddened to learn that Tyson has decided to close its Lexington facility.” She noted local producers depend on Tyson to buy cattle and market beef, and hopes a new buyer can take over.
U.S. Sen. Deb Fischer called the news “extremely disappointing.” She said Tyson is Lexington’s largest employer and its closure will deeply affect the community, region, and state. Fischer highlighted the volatile cattle market, noting Tyson once made windfall profits while much of the industry struggled.
She urged Tyson to support affected families during the holiday season after what she called a “short-sighted decision”. Tyson has not announced a timeline for the Lexington closure.
FAQs
Q1. Why is Tyson closing its Lexington beef plant?Tyson is closing the plant to “right-size” its beef business after losing millions due to a smaller U.S. cattle herd.
Q2. How many workers will be affected by Tyson’s plant changes?
About 3,200 workers in Lexington and 1,700 in Amarillo will be impacted by the closures and shift reductions.
