Full Breakdown
Federal Antitrust Push Targets Gasoline and Egg Prices
7/4/2026, 5:27:33 AM
Core Action: DOJ & FTC Urge States to Probe Gasoline Pricing
On July 3 2026 the U.S. Department of Justice (Associate Attorney General Stanley Woodward Jr.) and the Federal Trade Commission (Chair Andrew Ferguson) sent a letter to more than three dozen state attorneys general. The letter urged the states to “use all tools available” to investigate whether oil companies or retailers are illegally inflating gasoline prices, emphasizing that “recent volatility in crude oil prices does not suspend either the antitrust laws or state consumer-protection laws.” The agencies also noted they have no authority to enforce price-gouging statutes but encouraged states to apply their own emergency-pricing laws. At the time, the national average price for a gallon of regular gasoline was $3.82, with some West-Coast markets exceeding $5.00.
Core Action: DOJ Secures Egg-Price-Fixing Settlement
In June 2025 the Justice Department’s Antitrust Division, together with 17 state attorneys general, announced settlements with Cal-Maine Foods Inc., Versova Holdings LLC, and Hickman’s Egg Ranch Inc. The companies were accused of coordinating bids between June 2022 and March 2025 to raise the Urner Barry daily egg-price quotation, a benchmark that drives wholesale egg contracts nationwide. The settlement requires the firms to pay $3.3 million in cash and donate 53 million eggs to food banks and nonprofits across the participating states. Cal-Maine’s share is $1.5 million and 30 million eggs; Versova’s share is $800 000 and 20 million eggs; Hickman’s share is $1 million and 3.25 million eggs.
Background & Context
Both actions follow a period of heightened consumer-price anxiety. Crude oil prices fell sharply after an interim peace deal in the Strait of Hormuz, yet gasoline prices remained elevated. Simultaneously, egg prices peaked at $6.23 per dozen in March 2025 before dropping below $2.20 per dozen in May 2026 as supply recovered from avian-influenza outbreaks.
Key Figures & Agencies
- Stanley Woodward Jr., Associate Attorney General, DOJ
- Andrew Ferguson, Chair, FTC
- Donald Trump, President (Truth Social post)
- Eimear Bonnert, CFO, Chevron (industry response)
- Sherman Miller, President & CEO, Cal-Maine Foods
- Nicole Sarrine, Deputy Assistant Attorney General, DOJ Antitrust Division
- Letitia James, New York Attorney General (plaintiff)
- Angela Huffman, President, Farm Action (critic)
Timeline of Major Developments
- June 2022 – Alleged egg-price collusion begins.
- March 2025 – Collusion ends; price quotations drop after DOJ notice.
- June 2025 – DOJ files complaint; settlement announced (June 29).
- June 24 2026 – President Trump’s Truth Social post demanding lower pump prices.
- July 3 2026 – DOJ/FTC letter to states on gasoline pricing.
- July 2026 – Chevron CFO notes lag between crude-oil and pump prices.
Data & Statistics
- Gasoline average: $3.82 / gallon (July 2026).
- Crude oil: $68 / barrel (June 2026).
- Egg price peak: $6.23 / dozen (Mar 2025); low: <$2.20 / dozen (May 2026).
- Settlement: $3.3 million cash, 53 million eggs.
- Cal-Maine 2025 profit: $1.22 billion.
Official Statements & Responses
The DOJ/FTC letter stressed that “business may not use market volatility as cover for anticompetitive practices.” Deputy Assistant Attorney General Sarrine said the egg settlement “will keep egg prices competitive and keep money in the hands of consumers.” Chevron’s Bonnert warned that “there is a lag between oil prices and reductions in oil prices and when that shows up at the pump.” Cal-Maine called the allegations “baseless” and asserted compliance with the law.
Criticism & Opposition
Consumer watchdog Farm Action argued the $3.3 million penalty is “a slap on the wrist” given Cal-Maine’s $1.22 billion profit. Some states have not yet clarified how they will apply price-gouging statutes, leaving enforcement gaps.
Conflicting Reports & Gaps
The DOJ notes it lacks authority to enforce price-gouging laws, yet states vary in their emergency-pricing statutes. The long-term impact of the egg settlement on wholesale pricing remains unmeasured.
Verbatim Quotes
- “The big Oil Companies are not dropping their price at the pump commensurate with the sharply lower prices they are paying for Oil. Those prices are dropping like a rock! In other words, customers are being ‘gouged.’ I have instructed the DOJ to immediately start looking into this. Gasoline prices better start going down a lot faster than what I’m seeing!” — Donald Trump, Truth Social
- “Recent volatility in crude oil prices does not suspend either the antitrust laws or state consumer protection laws, and it does not authorize companies to manipulate retail prices or collude with their competitors.” — Stanley Woodward Jr., Associate Attorney General, DOJ
- “Business may not use market volatility as cover for anticompetitive practices, fraud, or any other lawlessness that harms Americans,” — Andrew Ferguson, FTC Chair
- “We are proud that these settlements will keep egg prices competitive and keep money in the hands of consumers across the country,” — Nicole Sarrine, Deputy Assistant Attorney General, DOJ Antitrust Division
- “Consumers paid record prices while dominant egg producers reported extraordinary profits, yet the result is another settlement that corporations can treat as the cost of doing business rather than meaningful accountability,” — Angela Huffman, President, Farm Action
Why It Matters
The coordinated federal-state push seeks to curb anticompetitive conduct that inflates essential-goods prices, protecting household budgets and reinforcing market competition.
What’s Next
State attorneys general are expected to launch investigations into gasoline pricing practices and to monitor compliance with the egg settlement’s injunctions. The DOJ and FTC have indicated they will continue “closely monitoring” both markets for further violations.
