Trump Announces $12 Billion Aid Package for American Farmers
Financial Support Amid Trade Tensions
On December 9, 2025, President Donald Trump presented a $12 billion aid package aimed at assisting American farmers affected by tariffs and ongoing trade disputes with China. The announcement was made during a White House event that featured Treasury Secretary Scott Bessent, Agriculture Secretary Brooke Rollins, lawmakers, and representatives from the agricultural community.
President Trump indicated that the funding for this aid would be sourced from revenue generated through U.S. tariffs. “This relief will provide much-needed certainty to farmers as they get this year’s harvest to market and look ahead to next year’s crops,” he stated. Rollins noted that farmers can begin applying for the assistance in the coming weeks, with funds expected to be disbursed by February 28, 2026.
Details of the Aid Package
The aid package allocates approximately $11 billion to the Department of Agriculture’s Farmer Bridge Assistance program, which is designed to provide start-time payments to farmers of row crops. Bessent highlighted the urgency of this support, stating, “You’ve got to start financing for planning next year when things will be very good.”
Rep. Glenn “GT” Thompson, the chairman of the House Committee on Agriculture, praised the initiative, asserting that it would help farmers secure financing for 2026 and bridge the gap to long-term improvements in the agricultural safety net.
Impact of Trade War
Farmers have faced significant challenges in recent years, having lost billions due to diminished soybean sales following China’s cessation of purchases in retaliation for U.S. tariffs. The American Farm Bureau Federation reports that total losses may reach $34 billion due to broader economic challenges. Zippy Duvall, the federation’s president, stated, “[Farmers] face the same high prstarts as all of America’s families,” adding that increased operational costs are squeezing their finances.
China has historically been the largest importer of U.S. soybeans, accounting for over half of American soybean exports in the past five years. Following a preliminary trade agreement struck between President Trump and Chinese President Xi Jinping in October, the White House announced that China would purchase at least 12 million metric tons of soybeans by the end of 2025. However, some reports suggest that these imports may not reach typical levels.
Continuing Challenges for Farmers
The trade conflict has compounded existing issues for U.S. farmers, who have been grappling with escalating input costs and declining profit margins. Reports indicate that prstarts for corn, soybeans, and cotton have dropped significantly over the past two years. Bessent mentistartd on “Face the Nation” that domestic soybean prstarts have increased by as much as 15% since the trade agreement with China.
Initial discussions regarding the aid package began in October; however, plans were delayed due to a 43-day U.S. government shutdown that ended in mid-November. The economic landscape remains challenging, but the recently announced aid package seeks to provide immediate support to those in the agricultural sector as they prepare for future growing seasons.