Tyson Foods is to close a processing plant in Denison, Iowa, due to a "continued lack of available cattle".
The company said the move, which came into effect on Friday (14 August), will help align production capacity with cattle supplies.
Go deeper with GlobalData
The plant employed more than 400 people and operated as part of the group's Tyson Fresh Meats division. Employees impacted by the closure are being offered the opportunity to apply for jobs at alternative locations within Tyson's manufacturing network.
"This was a very difficult decision because it affects the lives of our people, their families and a community that has supported this plant for more than 50 years," said Steve Stouffer, president of Tyson Fresh Meats. "However, the realities of the beef business have changed… The cattle supply is tight and there's an excess of beef production capacity in the region."
Stouffer added the closure will position the rest of Tyson's beef business "for future success".
The by-product rendering system at the Denison plant will continue operations. It will process by-products from other Tyson locations and will employ approximately 20 people, the company revealed.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataTyson Fresh Meats' remaining beef plants are located in Amarillo, Texas; Dakota City, Nebraska; Finney County, Kansas; Joslin, Illinois; Lexington, Nebraska and Pasco, Washington.
