Trump Announces $12 Billion Farm Aid Package Amid Trade Challenges

Tue Dec 09 2025 16:09:25 GMT+0200 (Eastern European Standard Time)

In a bid to support struggling farmers, President Trump unveils a significant $12 billion aid initiative, which he claims will mitigate the adverse effects of trade disputes and falling crop prices.

President Donald Trump has revealed a comprehensive $12 billion farm aid package designed to support farmers adversely impacted by low crop prices and recent trade conflicts. The bulk of the funding, totaling $11 billion, will be allocated for one-time payments under the Farmer Bridge Assistance program, with the remaining billion set aside for crops not included in this program. This move comes as U.S. farmers face ongoing challenges, particularly from trade tensions with China, impacting the sales of critical crops like soybeans. Trump emphasized the need for a stable market condition for farmers, stating his administration's efforts aim to create a fair environment for agricultural production and pricing.

US President Donald Trump has unveiled a $12 billion (£9 billion) farm aid package aimed at helping farmers impacted by low crop prices and the administration's ongoing trade wars.

Most of the money – $11 billion – is earmarked for one-time payments to farmers for row crops as part of the agriculture department's Farmer Bridge Assistance programme, with another billion reserved for crops not covered by the programme.

While farmers have broadly supported Trump, the agriculture sector has been disrupted by trade disputes during his second term, particularly with China.

Also on Monday, Trump threatened to hit Mexico with an additional 5% tariff in a row over water supplies to US farmers.

The White House claims the aid package will assist farmers suffering from years of unjustified trade actions and accumulated inflation.

Trump made the announcement during an event at the White House, alongside Treasury Secretary Scott Bessent and Agriculture Secretary Brooke Rollins. Members of Congress and farmers from various sectors were present.

Maximising domestic farm production is a big part of how we will make America affordable again and bring down grocery prices, Trump stated.

Farmers have been hard hit by the trade disputes, especially sorghum and soybean producers, who rely heavily on the Chinese market.

The aim of the payments is to assist farmers in marketing this year's harvest and planning for next year's crops, serving as a bridge until a better market environment emerges.

Trump noted that further aid packages would depend on market developments, saying, The farmers don't want aid; they want to have a level playing field.

Mark Legan, a farmer from Indiana, described how government support would help easing financial strains, allowing him to invest in necessary machinery despite high production costs.

The aid package follows similar assistance measures during Trump's previous term and comes as a response to increased public concern regarding rising food costs and trade access issues.

Trump's announcement also included a threat to impose tariffs on Mexico regarding water access, citing longstanding treaties that have allegedly been violated.