US Meat Processing Industry Faces Supply Chain Collapse Risk... Trump Issues Executive Order to Keep Plants Operating
[Asia Economy Reporter Jeong Hyunjin] U.S. President Donald Trump plans to issue an executive order instructing meat processing companies, which are at risk of supply chain collapse due to the spread of the novel coronavirus disease (COVID-19), to continue factory operations, Bloomberg News reported on the 28th (local time).
According to the report, President Trump will designate meat processing plants as infrastructure essential to food supply under the Defense Production Act and plans to provide employees with protective equipment and workplace guidelines.
This measure comes after major U.S. meat processing companies such as Tyson Foods expressed concerns about supply chain collapse. Tyson Foods Chairman John Tyson stated in a newspaper advertisement on the 26th that meat supply is becoming difficult due to factory closures and urged authorities to take measures. Recently, as COVID-19 cases have been confirmed one after another at meat processing plants, factories have been closing consecutively, raising concerns about food supply.
In response, President Trump hinted at signing an order to resolve Tyson's issues during a press conference held at the White House Rose Garden on the same day. The Defense Production Act grants the federal government the authority to require private companies to produce strategic materials.
Bloomberg explained that this order is expected to affect not only Tyson but also plants supplying beef, chicken, eggs, and pork, stating, "The White House made the decision while about 80% of U.S. meat production facilities are closed."
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The United Food and Commercial Workers International Union (UFCW) opposes this measure, arguing that if workers are not safe, the food supply cannot be safe either. According to UFCW, about 6,500 workers involved in meat and food manufacturing processes in the U.S. have tested positive for COVID-19 or are in quarantine, with at least 20 deaths reported among them.
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