Key takeaways

• Heightened scrutiny across the food sector – The Order signals expanded DOJ/FTC focus on food supply chain industries, including meat processing, seeds, fertilizers, and farm equipment, with a renewed emphasis on possible coordinated pricing or supply restrictions.
• Foreign ownership as a key enforcement trigger – The Task Forces will examine whether foreign-controlled entities involved in any of these food-related sectors are artificially raising U.S. food prices or creating national or economic security risks—an explicit priority of the administration.
• Greater likelihood of civil and criminal action – The FTC and DOJ are directed to bring enforcement actions, propose regulatory reforms, and initiate criminal proceedings where collusion is found, thereby increasing the focus on companies and trade associations active in the food supply industry.
• Broader investigative landscape already underway – The Executive Order builds on earlier 2025 efforts, including the DOJ’s egg-pricing investigation and the November directive targeting large meat-packing companies.
• Companies should anticipate more probes and compliance risks – Firms in the food supply sector should expect to see renewed attention to pricing, information sharing, trade association conduct, and reactions to tariffs.¹

In more detail

The Executive Order²

The December 6^th Order directs each of the DOJ and FTC to establish Food Supply Chain Security Task Forces dedicated to investigating whether and to what extent anticompetitive practices may be present in the food supply chain sector.³ The Order identifies particular vulnerabilities in markets for meat processing, seed, fertilizer, and farm equipment, noting past civil settlements for alleged price-fixing for “tens of millions of dollars.” The Order directs close scrutiny of companies that are under foreign control and specifically instructs the agencies to examine "whether control of food-related industries by foreign entities is increasing the cost of food products in the United States or creating a national or economic security threat to Americans." According to the Order, anticompetitive conduct “threatens the stability and affordability of America’s food supply . . . especially when carried out by foreign-controlled corporations.” Both agencies are instructed to “take all necessary and appropriate actions” to investigate food-related industries, including bringing enforcement cases and proposing new regulatory approaches. If criminal collusion is uncovered by the DOJ Task Force, the Attorney General must initiate appropriate proceedings, including grand jury investigations. The Task Forces are required to brief congressional leadership within 180 days, and again at one year.

Previous Directives

On November 7, 2025, the current administration separately directed the DOJ to open a federal investigation into alleged collusion and price-fixing within the nation’s largest meat-packing companies.⁴ This built on public concern that consolidation in the beef and pork industries—combined with foreign ownership in major processors—may be contributing to record-high consumer prices. The November action is also aligned with the administration’s broader attempt to reduce food inflation, including exemptions from reciprocal tariffs on a wide range of food imports. It addresses mounting concerns over the concentration of market power among a small number of meat-packing companies. According to the administration, industry consolidation may have triggered certain adverse effects in the industry, such as diminished payments to cattle producers, shrinking herd sizes, higher consumer prices, and risks to national food security.⁵

Investigations and Litigations

In May of this year, the DOJ launched an investigation into potential price-fixing among major egg producers after price increases and allegations that some companies may have leveraged the avian flu outbreak to raise prices beyond justified cost increases. Senators publicly urged the DOJ to continue examining whether recent price drops following news of the investigation signaled impermissible coordination.⁶ The egg sector, like meat processing, is highly concentrated and has a history of price-fixing litigation, reinforcing the DOJ’s interest. In alignment with the DOJ’s priorities, Abigail Slater, Assistant Attorney General for the DOJ's Antitrust Division, emphasized that the division will prioritize enforcement around protecting Americans on “pocketbook issues,” which specifically include markets such as groceries, and other similar markets that directly impact American lives.⁷

Alongside government investigations into potential anticompetitive conduct in the food sector, private litigation is ramping up. Major American egg producers are also facing multidistrict class action lawsuits alleging they conspired to raise egg prices. These cases emerged as consumers alleged price-fixing and coordination resulting in inflated egg costs. With the issuance of the Executive Order and the establishment of dedicated Task Forces to investigate anticompetitive behavior, the risk of further scrutiny and private litigation in this sector is likely to increase.

Global Implications

The Order establishing DOJ/FTC food-supply Task Forces, the November directive ordering a DOJ probe into the meat-packing sector, and antitrust investigations in food-related sectors all signal heightened scrutiny in the United States, which may ripple across global food supply chain markets. These actions underscore that U.S. prosecutors and plaintiffs are prioritizing the food supply chain for potential antitrust actions, particularly toward foreign controlled entities, as an issue of national security.

For global companies the practical impact includes: (1) cross-border companies may face parallel investigations or follow-on private suits in multiple jurisdictions if U.S. authorities uncover conduct that also may violate competition law in another jurisdiction; and (2) global competition authorities have been steadily sharpening focus on anticompetitive conduct and collusion in food supply chains, so heightened U.S. activity increases the likelihood of coordinated multijurisdictional antitrust scrutiny and enforcement, including investigations and coordinated dawn raids. Companies should pay particular attention to dawn raid preparedness considering these developments. Comprehensive preparedness will help mitigate operational disruption, safeguard privileged information, and ensure compliance with both domestic and foreign competition laws.⁸

In short, the U.S. measures raise competition and litigation risk for global companies within the food supply chain or related sectors across jurisdictions. Multinational companies, in particular, should focus on creating robust antitrust compliance programs, implementing safeguards for pricing conduct and information exchange, including developing proactive policies around dealing with competitors.

Recommended Actions

Why This Matters for Companies in the Food Sector

The Order represents a meaningful acceleration of federal antitrust scrutiny across the food supply chain. With multiple investigations already active—and economic pressure building around grocery inflation and rising food costs—domestic and multinational companies in food-related sectors should anticipate:

• More DOJ and FTC inquiries into pricing, cost drivers, production decisions, and information and data exchanges;
• Deeper review of foreign-controlled or foreign-owned entities and conduct related to pricing;
• Increased regulatory scrutiny potentially triggering parallel investigations across multiple jurisdictions;
• Coordinated or parallel dawn raids by competition authorities in multiple jurisdictions;
• Heightened sensitivity around trade association activity, benchmarking discussions, and tariff-related pricing strategies; and
• A greater likelihood of antitrust enforcement actions, including potential criminal investigations where collusion is alleged, and an escalating risk of private litigation.

Following the Order, companies active in the food sector should review and make any necessary amendments to their antitrust compliance programs on issues such as dealing with competitors, collaboration, information-sharing practices, and trade association activities to mitigate risk as enforcement intensifies.

1 United States: False Origins, Real Consequences: DOJ Task Forces Team Up to Enforce Buy America Tariff Scheme - Baker McKenzie InsightPlus

2 Addressing Security Risks from Price Fixing and Anti-Competitive Behavior in the Food Supply Chain – The White House

3 Fact Sheet: President Donald J. Trump Addresses Security Risks from Price Fixing and Anti-Competitive Behavior in the Food Supply Chain – The White House

4 Trump Administration Cracks Down on Foreign-Owned Meat Packing Cartels – The White House

5 Id.

6 Warren, Banks Letter to DOJ on Egg Prices

7 Office of Public Affairs | Assistant Attorney General Gail Slater Delivers First Antitrust Address at University of Notre Dame Law School | United States Department of Justice

8 See Baker McKenzie Dawn Raid App, Dawn Raids | Expertise | Baker McKenzie