As the White House works to rebalance the trade books, recent numbers show the agricultural trade gap is growing, and soybean growers are sounding an alarm. The American Soybean Association‘s Caleb Ragland warns they’re in a dire situation right now. One of their largest buyers hasn’t shown up this year: China.
Economists with the University of Illinois report that ag exports dropped by nearly $5 billion in July alone. That’s a nine-percent gap from a year prior, and the U.S. Department of Agriculture (USDA) says that’s the most significant gain on record for a single month.
Bloomberg found the U.S. imported around $132 billion in agricultural goods since the start of the year. That’s eight percent above the same time in 2024.
As the White House works to close that gap, patience is wearing thin for some lawmakers. Senator Chuck Grassley (R-IA) says farmers are getting backed into a corner.
“We’ve got this farm crisis now, and this President should deal with this farm crisis right now,” Sen. Grassley said. “I’m hearing from bankers. I’m hearing from people that are getting pressed by their bankers to maybe sell part of their farm to somebody, [so] that when they build up their equity, they might be able to buy it back. We haven’t had this kind of stress in agriculture since the 1980s.”
Grassley also let his thoughts be known on tariffs. He didn’t mince words when it came to extra taxes on goods that farmers rely on.
“Putting 50% tariffs on things that have steel in them, when you can’t buy those things in the United States, and you need them for your tractor to be finally manufactured?” Grassley states. “There should be tariffs on things that you can’t get in the United States. Why drive up the price of John Deere’s because of a tariff on something they need for the tractor that they can’t even get in the United States? It’s a stupid policy.”
Grassley and his colleagues will have their work cut out for them this month. The Farm Bill extension is set to expire at the end of this month, and Congress still needs to pass a spending plan before risking a government shutdown at the same time.
