The aid package, which Trump says will come from tariff revenue, seeks to support a crucial voting bloc that has largely supported him despite facing billions of dollars in lost sales due to his trade war with China.
Trump announced the aid at a White House roundtable alongside Treasury Secretary Scott Bessent, Agriculture Secretary Brooke Rollins and members of Congress. Corn, cotton, sorghum, soybean, rice, cattle, wheat and potato producers attended the roundtable, according to a White House official.
“This relief will provide much-needed certainty to farmers as they market this year’s crop and anticipate next year’s harvests, and will help them continue their efforts to lower food prices for American families,” Trump said.
Rollins said $11 billion of the aid will go to row crop farmers and will be disbursed by Feb. 28. The government is holding back the remaining $1 billion for fruits, vegetables and other crops to finalize the details, Rollins added.
Bessent said the payments will be a “liquidity bridge during an adjustment period” to support farmers until they see the benefits of trade deals and other Trump policies.
Washington was expected to announce an agricultural bailout of up to $15 billion in October. Rollins previously said the 43-day federal government shutdown had delayed the rollout.
Farmers have faced higher costs for agricultural inputs like seeds and fertilizers, something the Trump administration says it is looking into. Soybean producers expect their third consecutive year of losses in 2025, according to the American Soybean Association.
Trump said at the White House that he would further help farmers by removing many environmental regulations for farm machinery and that he hoped manufacturers such as John Deere DE.N would reduce equipment prices.
“Farm equipment has become too expensive, and in large part it’s because these environmental excesses are imposed on it, which does nothing but complicate things,” Trump declared.
John Deere did not immediately respond to a request for comment.
Trump also indicated that he has asked Chinese President Xi Jinping to increase the soybean purchase agreement recently negotiated with China. “I think he’s going to do more than he promised,” Trump said.
