Today : Oct 05, 2025
Politics
05 October 2025

Trump Tariffs And Shutdown Leave US Farmers Reeling

Soybean growers face mounting losses as China halts purchases and government aid stalls, while political blame and bailout plans divide Washington and rural America.

As the United States enters another week of a government shutdown, the country’s farmers—long considered a bedrock of President Donald Trump’s political base—find themselves at the epicenter of a storm created by a combination of political gridlock and aggressive trade policy. The shutdown, which began just days ago, has led to the furlough of hundreds of thousands of federal employees, including two-thirds of the Farm Service Agency staff at the US Department of Agriculture (USDA). For many in the agricultural sector, the timing couldn’t be worse.

According to HuffPost, the USDA’s essential functions, such as food inspections, will continue. However, other critical programs like loans and financial assistance to farmers are now on pause, compounding the financial distress already triggered by Trump’s tariffs on foreign goods—especially those from China. “The tariffs are an insult to injury,” said Paul Mitchell, professor of agriculture and applied economics at the University of Wisconsin-Madison, in an interview with HuffPost. The agency’s role in international trade negotiations has also been put on hold, leaving farmers without a voice at the table as global markets shift beneath their feet.

President Trump, who returned to office in January 2025, wasted little time in enacting one of his signature campaign promises: imposing hefty tariffs on imports, particularly from China. In April, the administration slapped a 125% tariff on Chinese goods, a move Trump touted as a boon for American farmers. “Our farmers are going to have a field day,” he declared in March during a joint address to Congress. “...to our farmers, have a lot of fun, I love you.” But the reality on the ground has been far less rosy.

China, the world’s largest importer of soybeans, quickly retaliated by refusing to buy American soybeans, sparking a trade war that’s left US farmers reeling. “China buys about 60% of the world’s traded soybean,” Mitchell explained to HuffPost. “So, when China says they’re not buying our soybean that really hurts our exports.” The numbers are stark: during the 2024-2025 soybean season, China purchased $12.6 billion worth of US soybeans. This season, as reported by the New York Times, that figure has plummeted to zero.

Trump has acknowledged the pain on his social media platform, Truth Social, writing, “The Soybean Farmers of our Country are being hurt because China is, for ‘negotiating’ reasons only, not buying.” In an attempt to soften the blow, he’s floated the idea of a bailout for farmers, possibly funded by tariff revenues. So far, those tariffs have brought in more than $188 billion, a sum Trump claims could replace federal income taxes—though experts widely dispute that notion. The proposed bailout, expected to be announced next week, is reportedly in the neighborhood of $10 billion.

The political fallout is palpable. An Investigate Midwest analysis found that nearly 78% of farming-dependent counties voted for Trump in the 2024 election. In Iowa, the nation’s second-largest soybean producer, Trump beat Kamala Harris by 14 points. “More than 75 million Americans—including many farmers—voted for President Trump in 2024. Many of his priorities—from reducing wasteful spending and cutting regulatory red tape to expanding biofuels—are widely supported in rural America,” Iowa Soybean Association President Tom Adam said in a statement. “But the administration’s trade strategy has been a bitter pill for agriculture and Iowa farmers.”

Meanwhile, the Trump administration has threatened to permanently lay off government workers, including those at the USDA, if the shutdown continues. Republican senators have expressed concern, but many have stopped short of directly criticizing the president. “They’re being put into a situation where they’re going to have to make decisions that are not good for some of the constituencies that people represent out there,” said Senate Majority Leader John Thune (R-SD), whose state Trump won by 20 points.

According to Politico, Trump has sought to insulate his top priorities—immigration and trade—from the shutdown’s worst effects, ensuring that departments involved in these areas remain largely operational. When asked for comment, the White House and USDA both blamed the “Democrat Shutdown” for the disruption, with a USDA spokesperson stating, “The Democrats are blocking billions in disaster relief payments from reaching farmers—relief they voted for. Senate Democrats shut down the government on the eve of one of the worst farm economies.” The spokesperson went further, alleging, “America’s farmers and producers are left stranded because the Democrats are prioritizing billions in healthcare for illegal immigrants and transgender surgeries.” Such claims, as HuffPost notes, have been repeatedly debunked as baseless.

On the airwaves, the debate has become even more heated. During a recent CNN segment, GOP strategist Scott Jennings attempted to downplay the severity of the crisis, emphasizing ongoing negotiations between the US and China. But host Abby Phillip was quick to challenge him, asking, “So then why are we bailing out farmers to the tune of [$10] billion?” Jennings conceded, “Because it’s apparent China has played hardball with some sectors of our agriculture economy... in the short run, there’s no doubt some farmers have been hurt.”

Senator Joni Ernst (R-IA) echoed the sentiment, admitting that Trump’s tariffs “had caused great harm on American soybean farmers.” Jennings tried to highlight that other farmers—such as beef producers—were benefiting from different trade deals, but Phillip wasn’t convinced. “What kind of negotiating position are we in when China knows that they’ve put us up against the wall, that our farmers are begging for a bailout, and then we are also bailing out Argentina, which is now competing with us! We’re bailing out the people competing with our farmers. Make it make sense!” she exclaimed.

The mention of Argentina is particularly galling for many in the Midwest. Treasury Secretary Scott Bessent recently announced a $20 billion bailout package for Argentina, which has sold large quantities of soybeans to China at a discount. Senator Chuck Grassley (R-IA) voiced his frustration on social media: “Why would USA help bail out Argentina while they take American soybean producers’ biggest market??? We shld use leverage at every turn to help hurting farm economy Family farmers shld be top of mind in negotiations by representatives of USA.”

Despite the mounting economic pressure, many farmers in Trump-supporting regions remain loyal, though some are beginning to question the administration’s trade strategies. “Agriculture is our foundation here in Nebraska and many states in the Midwest,” one farmer told ABC News. “If agriculture is failing here, everything is going to fail.” Paul Mitchell summed up the growing frustration: “We already have enough problems. Why are you making more for us?”

This isn’t the first time Trump’s trade policies have triggered turmoil in the agricultural sector. During his first term, a similar trade war with China led to $16 billion in aid for farmers. Yet, the loyalty of rural voters has remained steadfast—at least until now. As the shutdown drags on and the trade standoff with China shows no sign of resolution, the patience of America’s farmers may finally be wearing thin.