News|Donald TrumpTrump announces $12bn package to aid farmers hurt by his tariffsFarmers have been dogged by trade wars that have seen reduced purchases and increased prices on seeds and fertiliser.
## Policy Update: Agricultural Assistance Package
Policy Update: Agricultural Assistance Package
On Mon, Nov 6, 2025, the United States government announced a $12 billion aid package intended to support farmers affected by recent tariff policies. The funds will be sourced from revenues generated by tariffs.
The administration has employed emergency powers to implement a comprehensive tariff strategy, impacting nearly all US trade. This has resulted in increased trade tensions with China, although recent efforts have been made to reduce these tensions. Despite these attempts, the agricultural sector has faced significant challenges this year.
The imposition of tariffs has led to China sourcing agricultural products such as soya beans and sorghum from South America, affecting US farmers. Additionally, the costs of seeds and fertilizers have risen as a consequence of the tariff measures.
According to a government official, up to $11 billion of the newly announced aid will be directed toward the Farmer Bridge Assistance program. This initiative is designed to assist row crop farmers who have been adversely affected by trade disputes and increased costs. The allocation of the remaining $1 billion is yet to be determined.
On Mon, Nov 6, 2025, the United States government announced a $12 billion aid package intended to support farmers affected by recent tariff policies.
The Food and Agricultural Policy Research Institute at the University of Missouri projects that net farm income may decrease by over $30 billion in 2026 due to reduced government payments and lower crop prices. Soya bean farmers are anticipated to continue experiencing losses for the third consecutive year, a trend that began before the current tariff policies.
The administration has highlighted a recent agreement with China, wherein Beijing has committed to purchasing 12 million metric tonnes of US soya beans by the end of the current year, with further commitments for the next three years. Although purchases have been limited so far, officials maintain that the annual target will be achieved.
US farmers receive substantial federal subsidies annually, with government payments expected to total nearly $40 billion this year, supported by various forms of disaster relief and economic assistance.
Based on reporting by Al Jazeera.
