Trump Orders Major Investigation Into Rising Food Prices
New probe targets foreign companies as inflation and grocery costs continue to pressure Americans.
President Trump, who is facing growing pressure due to inflation and rising prices at grocery stores, has ordered a comprehensive investigation into the pricing of food products, a decision that targets foreign companies in particular.
According to Axios, this order highlights a major tension in Trump’s domestic policy. It has proven difficult to supply affordable food without relying on cheap foreign labor, imports, and foreign capital.
Probe Targets Foreign Control of Food Industry
Trump issued an executive order directing the Department of Justice and the Federal Trade Commission to form task forces to investigate anti-competitive behavior in the food supply chain.
The order specifically instructs them to examine “whether control of food-related industries by foreign entities increases the cost of food products in the United States or creates a national or economic security threat to Americans.”
The task forces are expected to present a briefing to congressional leaders within six months. The order also calls on the Department of Justice to take criminal action if evidence of price manipulation is found.
American food production relies heavily on foreign companies and capital. Among the so-called Big Four meatpacking companies, which control more than 80% of the market, two — JBS and National Beef — are owned by Brazilian firms. National Beef was sold to the Brazilian company Marfrig during Trump’s first term. Meanwhile, Smithfield Foods, one of the world’s largest pork producers, is controlled by China’s WH Group.
Foreign giants also dominate related industries: fertilizer manufacturers such as Canada’s Nutrien; seed companies such as Germany’s Bayer and BASF; and agricultural equipment companies such as Japan’s Kubota and Europe’s CNH.
The problem is that the administration has already moved to lower food costs by acknowledging political realities elsewhere.
Administration Uses New Measures as Inflation Anger Grows
In October, the Department of Labor acted to make hiring foreign agricultural workers cheaper, responding to anti-immigration crackdowns that reduced farm labor and raised costs for farmers.
In November, Trump exempted dozens of food products — from beverages and spices to fruits and meats — from reciprocal tariffs.
Public dissatisfaction with how the administration is handling inflation is growing, even as officials promise price reductions in the first half of next year.
Recent polls show that many Trump supporters feel the cost of living is higher than ever.
It is worth noting that presidents ordering price-fixing investigations in response to rising costs is not new. Both Obama and Biden previously ordered investigations into collusion in the energy sector when gasoline prices surged.
In short, the administration is using multiple tools to confront rising food prices, having learned from the Biden administration that voters care most about their grocery bills.
