Source: American Ag Network
The U.S. Department of Agriculture has lowered its beef production forecasts for both 2026 and 2027 as cattle slaughter remains historically low. USDA’s Economic Research Service now projects 2026 beef production at 24.877 billion pounds, a decrease of 90 million pounds from its August forecast.
The agency also reduced its 2027 production forecast by 145 million pounds to 24.835 billion pounds. During the first eight months of 2026, cattle slaughter averaged approximately 8,000 fewer animals per weekday compared with the same period in 2025.
USDA expects fewer cattle to enter feedlots late in 2026 and early in 2027, which is projected to slow cattle marketings during the second half of next year. Higher anticipated feed costs are also expected to contribute to lower carcass weights.
Despite limited cattle supplies, USDA reduced its cattle price forecasts because of weaker demand from meatpackers and decreased beef processing capacity across the industry.