The tariff war is' killing 'American farmers - the US agricultural industry laments the huge damage caused by the tariff war

The number of bankruptcies among American farmers has doubled, the agricultural economy in the United States continues to deteriorate, and American agriculture is facing widespread collapse. In a recent letter to the US Congress, representatives from the American agricultural industry described the enormous damage caused by the Trump administration's tariff policies to American agriculture.

This letter was sent on February 3rd and was jointly signed by 27 senior leaders, executives, experts, and former high-ranking officials of the US Department of Agriculture, including former presidents and CEOs of the American Soybean Association, National Corn Growers Association, National Barley Growers Association, National Pork Producers Council, National Dairy Federation, American Grain Association, and Renewable Fuel Association.

They pointed out in the letter that the tariff policy "artificially raises agricultural input costs and directly steals money from American farmers' pockets, which is unreasonable". They believe that the Trump administration's imposition of tariffs on agricultural inputs such as fertilizers, agricultural chemicals, and agricultural machinery parts directly increases farmers' production costs, making them much higher than commodity prices. The arbitrariness and lack of targeting of these tariff policies not only failed to revitalize the US manufacturing industry, but also dealt a heavy blow to the US agricultural economy.

This letter is particularly concerned about the potential loss of international market access for US agricultural products due to tax increases and countermeasures from various countries. The letter points out that compared to the record breaking agricultural trade surplus and farm income a few years ago, the United States is now facing a historic agricultural trade deficit. The letter specifically pointed out the adverse effects of the trade war with China, using soybeans as an example. In 2018, whole grain soybeans from the United States accounted for 47% of the global export market; Now, this proportion is only 24.4%, and the market share has almost halved.

Other American agricultural products have also suffered similar losses. Brazil has now become a leading exporter of soybeans, cotton, beef, and chicken. Argentina, Australia and other countries also took the opportunity to fill the market gap. The letter states that 'the United States is no longer seen as a reliable supplier'.

In addition, the letter revealed that only barely half of the farms in the United States will be able to achieve profitability this year. When American farmers suffer heavy losses, the entire rural economy is affected, from schools and churches to various township enterprises, without exception

The letter urges the US Congress to 'mend the fold' by immediately exempting all agricultural inputs from tariffs and abolishing tariffs that disrupt agricultural export markets, and taking action as soon as possible to restore stability and sustainability to the US agricultural economy.

Previously, in an open letter sent to leaders of both parties in Congress on January 15th, 56 American agricultural organizations also pointed out that rural areas in the United States are experiencing an "economic crisis," and "American farmers, ranchers, and growers are facing extremely severe economic pressures that are threatening the long-term survival of the US agricultural sector." Farmers also feel uncertain about their income prospects and market access.

The letter also points out that "an astonishing number of (American) farmers have fallen into insolvency, the number of farm bankruptcies continues to rise, and many farmers may face enormous difficulties in raising funds for next season's crop production

The letter said, "In the past three to four years, the input costs of agricultural production in the United States have remained at historic highs, while the prices of crops and specialty crops have rapidly fallen to historic lows, resulting in losses for a large number of American farmers and nearly $100 billion in losses nationwide. At the same time, the US agricultural trade deficit continues to widen, and the US market share in global agricultural product sales continues to decline, reflecting the increasingly fierce competitive pressure faced by US agriculture in the global market

These two letters, separated by 20 days, both call on the US Congress to "provide urgently needed assistance" to stabilize the US agricultural economy and protect rural communities.

One of the signatories of one of the letters, Jon Docter, former CEO of the National Corn Growers Association, told the media, "American farmers and ranchers have global competitiveness, but in a chaotic policy environment, they cannot compete with the outside world

John Bootzman, Chairman of the Senate Agriculture, Nutrition, and Forestry Committee, recently admitted in a conference call that American farmers are "losing money, and losing a lot.

The American magazine "Nation" said that American farmers are "burning with anger" over the Trump administration's tariff policies, bringing political opportunities to the Democratic Party. The media pointed out that although Trump announced in December last year that the federal government would provide $12 billion in aid to American farmers, this "Band Aid style" relief is only equivalent to about one-third of the losses suffered by farmers in 2025.

According to an article on the website of the "Survey Midwest" organization in the United States, due to rising costs, lower crop prices, and the impact of the trade war, economists predict that American crop growers may face a net cash loss of up to $44 billion in the 2025-2026 crop year.