How the war in Iran is altering planting plans for American farmers

Urea is a one of the most popular nitrogen fertilizers for 
corn crops in the U.S. (DTN graph)

For farmers, the war in Iran has meant changing crop rotations, using less fertilizer, investing in what is profitable, and praying costs go back down by 2027, reports Patrick Thomas of The Wall Street Journal. For his report, Thomas profiled three farmers who are responding to the challenges. 

In Iowa, farmer Dave Walton has opted to plant more soybeans than corn to avoid soaring fertilizer costs resulting from the closure of the Strait of Hormuz. Thomas explains, "Soybeans require less fertilizer to grow than corn. . . . Walton typically splits his land for half to grow corn and half for soybeans. This year, he is shifting to a 60/40 split." Walton still plans to plant all of his 1,000 acres, but he figures his costs so far in 2026 are up 20%.

Timothy Jones also raises cattle.
(T. Jones photo via WSJ)

Timothy Jones typically grows corn and beans, alongside raising beef cattle on his Kentucky farm. "This year, he is planning to put about 20% of his corn crop into producing hay to help feed his growing cattle herd, which is making money, and an extra 15% into more soybeans to cut fertilizer costs," Thomas adds. Since corn needs far more urea fertilizer to provide nitrogen than soybeans, that switch will save Jones money. "Urea was about $520 a ton in January, he said; now it is more than $850 a ton."

Greg Amundson, a row-crop farmer with 3,000 acres in North Dakota, isn't changing his crop choices, but he does plan to use far less fertilizer. Thomas writes, "Because of rising crop-seed costs, he is cutting back on the number of seeds he plants per acre. He is hoping that improvements in how the seeds perform when planted will compensate for using less of them."

Ag round-up: Nearly 70% of farmers can't afford fertilizer; union and JBS reach deal; real help for stressed farmers

Share of farmers unable to afford all required fertilizer. (American Farm Bureau Federation graph)

Nearly 70% of American farmers report they can't afford all the fertilizer they need this season because of increased input prices due to the war in Iran and an already stressed farm economy, according to an April survey of 5,700 farmers by the American Farm Bureau Federation. "Farmers in the Southern region reported the greatest difficulty securing fertilizer, with 78% unable to afford all needed inputs this season," reports Faith Parum of AFBF. "Producers in the Northeast and West also reported significant challenges, with 69% and 66%, respectively, unable to afford all required fertilizer, compared to 48% in the Midwest.”

In an effort to drill down into why fertilizer prices have increased so dramatically since 2021, the U.S. Department of Agriculture is "working with the Department of Justice and the Federal Trade Commission on ongoing investigations into fertilizer and other agricultural input costs," reports Chris Clayton of Progressive Farmer. USDA Deputy Secretary Stephen Vaden has "continued his criticisms about concentration in the fertilizer industry, calling out The Mosaic Company for announcing it will close phosphorus mines in Brazil. . . . Vaden argued the global market is signaling a need for more supply -- not less. He questioned why a major producer would scale back output under those conditions."

The Greeley plant can process roughly 6,000
cattle per day. (Photo by L. Angharad) 

The local union representing roughly 3,800 beef plant workers in Greeley, Colorado, and meatpacking giant JBS announced a new labor contract agreement early this week, reports Patrick Thomas of The Wall Street Journal. Beef plant workers went on strike on March 16, "seeking higher wages and other workplace changes. . . . The Colorado plant can slaughter about 6,000 cattle a day, representing roughly 5% of U.S. beef-processing capacity." The new agreement includes worker wage increases through 2027 and protects employees from having to pay for their own required protective equipment. The last slaughterhouse strike happened at a Minnesota Hormel plant in 1985. 

Despite the multiple pain points for American soybean farmers in 2026, some of the rising input costs and sinking soybean prices have evolved over the past several years -- only to be exacerbated by tariff levies and the war with Iran, report Eric Ferkenhoff of Lee Enterprises and Josh Kelety of The Associated Press. "Costs, such as equipment, have crept up over time while soybean prices have stayed low." Doug Bartek, a fifth-generation farmer, told reporters, "Our biggest struggles are our inputs, be it fertilizer, seed, chemical or parts. There has been so much drastic markup in all of these. And I just kind of feel like the farmer’s kind of painted in the corner." Many Midwest soybean producers share Bartek’s worries.

Real Farmer Care wants to give farmers the means to
care for themselves. (Graphic by A. Dixon, Offrange)

Are you a farmer in need of some downtime? Do you know a stressed-out farmer who might be forgetting to care for themselves because they're tending to everything else? If either answer is yes, consider nominating yourself or another farmer-in-need-of-care for one of Real Farmer Care's $200 microgrants, writes Nicole Caruth for Offrange. "Think a stress-relieving massage, a pair of sturdy work boots, or just a dinner outing with friends. The grants are small, but can potentially have a big impact." From squeezing tariffs to eye-popping fertilizer costs, U.S. farmers are having a rough year. The brief nomination form is here. 

Trump administration announces sharp increase in biodiesel fuel requirements, giving corn and soybean farmers a lift

The Trump administration announced biodiesel quota increases last week, which will give a much-needed financial lift to some corn and soybean farmers. "The new rule increases biomass-based diesel — which is partly derived from soybeans — blending by more than 60%," reports Patrick Thomas of The Wall Street Journal. "It raises the biofuel requirement for all fuels by a lower percentage."

Federal biofuel requirements from 2025-2027. (Graph via Farm Progress)

The quota announcement, which tells refineries "how much biofuel made from crops must be blended into the gasoline and diesel supply" ... "is closely watched by corn and soybean farmers," Thomas explains. The percentage also impacts companies such as Archer Daniels Midland, Bunge and Cargill, which "buy crops from farmers and process grains and oilseeds into fuel, food ingredients and other products."

Trump announced the quota requirements at a White House event "surrounded by farmers, ranchers and a gold-colored tractor," Thomas explains. Trump outlined how the increased renewable fuel requirements "would help bolster the U.S. fuel supply, while generating $10 billion for rural economies."

Trump also told the crowd that "he was seeking congressional action to allow gas containing 15% of ethanol year-round and new loan guarantees for farmers," Thomas reports. Farmers have been pushing for year-round sales of E-15 gasoline, commonly known as "Unleaded 88" for its higher octane rating. Ninety-seven percent of U.S. ethanol is made from corn, so continuous E-15 sales would primarily benefit American corn farmers.

The farmer loan guarantees Trump referenced are aimed at lowering grocery prices. Trump said the loans, which will flow through the Small Business Administration, will "open up 'massive new loan guarantees' for farmers and food producers," reports Joshua Baethge of Farm Progress. 

As the U.S. struggles to define its international trade policies, China and South America move forward together

A direct trade route from the Port of Chancay, Peru, to Shanghai, China, decreases 
transit time and lowers costs. (Investigate Midwest map)

Despite the financial boost China's purchase of 12 million tons of soybeans gave some U.S. farmers this year, the shift in Beijing's trading partners doesn't bode well for future U.S. crop sales. China has spent the past decade fostering global relationships outside of trade with the U.S., with a particular focus on South America.

China has invested in nearly two dozen seaports throughout Latin American, which create a "logistics network to support China's growing trade with the region," reports Mónica Cordero of Investigate Midwest. "These seaport investments range from multi-billion-dollar deep-water terminals to smaller upgrades that improve rail links, storage capacity, and ship turnaround times."

COSCO Shipping, a Chinese state-owned company, has been investing in Peru's Pacific-facing Port of Chancay. "The $3.54 billion project marks a major expansion of China’s Belt and Road Initiative into Latin America," Cordero writes. "From Chancay, the promise is that ships will reach China faster, a critical advantage for agricultural products."

Many experts point to the U.S.-China trade war that began in 2018, during President Donald Trump's first term, as the reason China began shunning American agriculture. Cordero explains, "But since returning to office, the president has renewed that strategy, and China’s investments signal a generational shift that may not reverse if and when the trade war subsides."

Without sales to China, American soybean farmers are in a particularly vulnerable position. Cordero reports, "Nationwide, more than 270,000 farms grow soybeans. . . . In Illinois, nearly half of all farms depend on soybean production, and in Iowa and Minnesota, about four in 10 do." 

"As China establishes new trade routes across Latin America, every new port or shipping lane makes a future recovery for U.S. farmers more challenging," Cordero writes. April Hemmes, an Iowa soybean farmer, told Cordero, "The only way that we become their top choice would be if our soybeans were far cheaper than South America’s.”

Trump traveled to Iowa to show farmers his support and to tout $12 billion federal aid package

Trump poses for photos with younger
"fans" during his Iowa visit.

President Donald Trump returned to Iowa this week to reassure farmers of his support and to tout his administration’s recent $12 billion farming aid package. 

But as farmers face economic headwinds, "some are growing frustrated with how his policies, including his far-reaching tariffs, have hurt the agricultural economy," report Patrick Thomas and Ken Thomas of The Wall Street Journal.

Trump told an audience of diners at the Machine Shed restaurant in Urbandale, Iowa, that he "'gave farmers $12 billion . . . because they were treated unfairly by foreign countries," the Journal reports. The crowd applauded.

Despite the rousing crowd support the president received, some U.S. farms are hurting. Thomas writes, "In the first nine months of 2025, nearly 300 farms filed for bankruptcy, up almost 40% from 2024, according to U.S. court data."

Mark Mueller, who is president of the Iowa Corn Growers Association, told the Journal, "We’re getting a lot of lip service. He’s saying that he’s going to do all these things to make things wonderful. We’ll have a new golden era of agriculture. No, that’s not been the case.”

Last month, Trump angered cattle producers by taking to social media and demanding that they lower beef prices. American livestock owners, who have made abysmal profits for years, are just now realizing steady profits.

Other farmers have been "irked by a lack of ag-friendly policy victories in Washington, such as expanding the blending of corn into gasoline and soybeans into diesel," the Journal reports. Farming advocacy groups have pushed for "increasing the use of gasoline with 15% ethanol, known as E15, [that] would increase demand for U.S.-grown corn and push up prices."

Meanwhile, the state will have some intensely competitive midterm elections where Democrats are working to gain traction. Steve Scheffler, who leads the Iowa Faith and Freedom Coalition, "recalled that former President Barack Obama carried the state in the 2008 and 2012 elections," Thomas adds. "He warned that Democrats would try to make inroads in this year’s midterms — without Trump’s name on the ballot."

Quick hits: Mail is one of life's constants; China buys more beans; auctioneer school, federal firefighter payments

In the U.S., mail carriers are still beloved by many
Americans. (Adobe Stock photo)

Despite the U.S. Postal Service's ongoing financial and organizational struggles, U.S. Postal carriers remain beloved by many Americans. "With the Postal Service seemingly in jeopardy, it’s worth taking a moment to reflect on the nation’s more than 500,000 postal employees," reports Steven Kurutz of The Washington Post. Stephen Starring Grant, a former postal worker, told the Post, "I was the face of the United States government for a lot of the people on my route. . . No matter what else is going wrong, you’re still getting your mail.”

As China's promised purchases of U.S. soybeans continue to be tracked, the country purchased "10 U.S. soybean cargoes this week," report Naveen Thukral and Ella Cao of Reuters. The update comes "as the world's top buyer continues purchasing from the United States following a late October trade truce. The cargoes, totalling around 600,000 metric tons, are for shipment between March and May, the traders said, which is the peak shipping season for rival supplier Brazil."

Auctioneer students come from far and wide to learn
at the Bozeman, Mont. school. (Adobe Stock photo)

It's all about pitch, tenor, cadence, body language and the ability to say "SOLD!" like you mean it. "Welcome to the Western College of Auctioneering in Bozeman, Mont., a major training ground for a profession that is critical to the sale of cars and cattle in America," reports Liza Weisstuch of The Wall Street Journal. "Since it was founded in 1948, the school has matriculated over 5,000 students, who also auction everything from real estate to farm equipment to fine art."

After years of avoiding and denying the harm toxic wildfire smoke can do to firefighters, some recompense has been made. Firefighters "will be eligible for a payment of nearly $450,000 and college tuition for their family if they die or become debilitated from a smoke-related cancer," reports Hannah Dreier of The New York Times. "The legislation, which passed as part of a larger military spending bill, requires that some 20 smoke-related cancers be automatically treated as line-of-duty injuries or deaths for all firefighters who work for public agencies."

As 2025 moves into the rearview mirror, it still warms the heart to hear all the good things that happened before 2026 came marching in. Across the globe, some wondrous stuff happened. The U.S. neared completion of the "world’s most ambitious oyster reef restoration in the Chesapeake Bay, with more than 1,700 acres of reefs now revitalized," reports Reasons to Be Cheerful. "Over 120,000 'hedgehog highways' now connect about 240,000 gardens across the U.K. . . .Yemen now has an estimated 1.3 million beehives, some 100,000 more than three years ago." Read 97 good things here.

After a long wait by American farmers, China purchases U.S. soybeans for the first time since January

The loss of Chinese soybean sales over the summer 
caused U.S. soy prices to plummet. (Adobe Stock photo)

After months of giving American soybean farmers the cold shoulder, China purchased 14 cargoes of U.S. soybeans earlier this week. Karl Plume of Reuters reports, "It's the largest purchase since at least January and the most significant since a summit between President Donald Trump and President Xi Jinping in October." 

Although soybeans from South America are significantly cheaper, Beijing purchased U.S. beans to "meet the pledges it made to Washington at the trade summit in Busan, South Korea," Plume explains. "The White House said China had agreed to buy 12 million metric tons of U.S. soybeans this year." That's less than half of what China purchased -- roughly 27 million tons -- of U.S. soy in 2024.

 

The purchase marks a positive shift in U.S.-China trade relations, after a summer of tariff wars between the two countries, which led China to skip U.S. soybeans and instead purchase millions of tons of soy from Brazil and Argentina. 

 

The loss of Chinese soy purchases over the summer caused U.S. soy prices to tank, hurting American farmers already under stress from high costs and income insecurity. China bought nearly half of all U.S. soybeans in 2024.

 

Jim Sutter, chief executive officer of the U.S. Soybean Export Council, told Reuters, "It is good to see the hard work of our U.S. trade negotiators and their Chinese counterparts turning into business for U.S. soy farmers and exporters. We look forward to this continuing as trade lanes are restored." 

Farmer opinion: 'The pain has spread far beyond my fields. Every person and business in rural America is feeling it.'

U.S. farmers sold nearly half of nation's 2024 soybean crop
to China. (Adobe Stock photo)

Even with a relief package, U.S. farmers can't recoup losses from the U.S.-China tariff war. "We’re on the verge of the nation’s worst farm crisis since the 1980s," writes Mark Heckman in his opinion piece for The Wall Street Journal. Promises from China to "buy a 'tremendous' amount of soybeans, as President Trump put it, aren’t good enough either. We want fair trade."

American farmers sold $12.6 billion in soybeans to China in 2024, which equals roughly half of the soybeans grown in the U.S. But in retaliation against Trump's 2025 tariffs, China snubbed U.S. farmers and bought billions of bushels of beans from South American countries. Heckman writes, "Most of mine will sit unsold in a warehouse."

He said the media often describe "potential relief payments to American soybean farmers as a 'bailout.' I see it as a slap in the face," Heckman adds. "The money won’t come close to making up for the hurt in farm country. . . . The pain has spread far beyond my fields. . . . Every person and business in rural America is feeling it."

"Meanwhile, Trump is boasting," Heckman writes. "Treasury Secretary Scott Bessent’s elaboration on Trump’s promise from China — feels hollow. What happens if the Chinese don’t come through? More tariffs causing more pain to American farmers like me."

Border taxes serve "no financial purpose if the federal government simply intends to redistribute the money it collects," Heckmans explains. "It turns self-sufficient producers into supplicants pleading for subsidies. . . .The government should get out of American farmers’ way and allow market forces to work. Don’t give us handouts. Let us sell what we grow to the people who want to buy it, at home and abroad."

Mark Heckman is a hog, cattle, corn and soybean farmer who serves as vice chairman of the Global Farmer Network.

China plans to purchase soybeans from this year's harvest and return its bean spending to previous levels

China plans to purchase U.S. soybeans from this year's 
harvest. (Adobe Stock photo)

After months of zero soybean sales to China, a trade deal announced between the U.S. and China will bring some relief to U.S. soybean farmers. 

"China has pledged to return its purchases of U.S. soybeans to regular levels in each of the next three years, according to Treasury Secretary Scott Bessent," reports Ben Berkowitz of Axios. Last year, China purchased roughly half of all U.S. soybeans, which totaled about $13 billion.

Despite China's purchase of soybeans from Argentina in September and October, Bessent's announcement included purchase details for this year's U.S. harvest. "Bessent said China pledged to buy 12 million metric tons of soybeans from U.S. farmers this season."

While the final terms of the agreement have not been disclosed, it appears that "China’s purchases of farm products will revert to what it imported before Trump retook office and initiated a new trade war," reports Alan Rappeport of The New York Times.

The sale of soybeans from this year's crop will bring some financial stability to farming families who were already operating on razor-thin margins due to high input costs and low commodity prices. Rappeport explains, "The loss of China as a buyer of soybeans and other American farm products raised fears in rural America that a 1980s-style farm crisis was looming and that many farms could go bankrupt."

On top of China's soybean purchase, Bessent said that "other countries in Southeast Asia had also agreed to buy an additional 19 million metric tons of American soybeans," Rapppeport writes. "He did not specify over what time frame those purchases would occur, but said that overall, President Trump had delivered for the farmers."

U.S. soybean farmers panic over lack of sales to China

Some U.S. soybean farmers will store, instead of sell,
this year's crop. (Photo by Mark Serafino, Unsplash)

U.S. farmers haven’t sold beans to China, and soybean growers are sounding the alarm. "American soybean farmers are in panic mode as they harvest what is expected to be a bumper crop," reports Patrick Thomas of The Wall Street Journal. "China accounted for more than half of the $24.5 billion of American soybean exports last year."

By snubbing American soybeans and purchasing South American-grown beans instead, China is once again using U.S. farmer strife as a way to punish the Trump administration's trade wars. Thomas adds, "From January through August of this year, Chinese buyers purchased just over 200 million bushels of U.S. soybeans, compared with almost 1 billion bushels over the same period last year."

Even before China opted not to purchase U.S. soybeans, American farmers were already struggling with high costs for equipment, labor and fertilizer. "Congress in December passed a $10 billion bailout for farmers," Thomas wrote. "President Trump said on Monday that he was 'going to do some farm stuff this week' to help growers cope with the loss of exports to China."

Meanwhile, some soybean growers are choosing to store their harvested crops for now. Iowa soybean grower Morey Hill told Thomas, “There’s no incentive to sell right now." Hill predicted that without sales to China, the soybean market could likely turn into a "blood bath."

Instead of waiting on China, Hill has been traveling to countries such as Cambodia and Morocco, working to educate farmers on the benefits of using U.S. soybeans in their fish and animal feed, which is what China does with the majority of its soybeans.

The European Union, Mexico, Vietnam, Egypt and Bangladesh also purchase U.S. soybeans, but those sales, even when combined, aren't enough.

Opinion: Annual harvests in Ohio turned into a 'mess' by trade wars, low prices and sky-high input costs

China hasn't purchased a single soybean from
the U.S. in 2025. (Adobe Stock photo)

 

Despite better weather and decent crop production, many American farmers face extreme financial distress due to tariffs, sinking commodity prices and the lack of trade with China. 

For row crop farmers in Ohio, the tariffs and expenses have turned their annual harvest time into a "mess" riddled with financial loss and insecurity, writes Marilou Johanek in her opinion for the Ohio Capital Journal.

"Some growers have called the fallout from President Donald Trump's chaotic trade war, and the reciprocal tariffs it provoked, a 'farmageddon' that could ruin what made rural America great," Johanek explains.

While some U.S. farmers were not surprised that China's response to American tariffs was to snub U.S. soybeans, the pain is being felt by farmers nationwide, including those who don't trade with China. Johanek explains, "Farmers felt the same creeping despair with the tariff debacle of 2018 when Trump first slapped punitive tariffs on crucial exporters of American crops."

Ohio farmer Chris Gibbs, who left the GOP after 2018 tariffs caused China to increase its farming trade with South America, told Johanek, "We’re back in the same situation, but only worse. In the major commodities, corn, wheat, soybeans, sorghum, rice, cotton, prices are below the cost of production, so there’s built-in loss."

Beyond too few trading partners, farmers face soaring input costs. Johanek writes, "Senseless tariffs on fertilizer, steel, aluminum, and lumber just sent the cost of doing business through the roof. . . . Trump tariffs are especially painful for family farms that make up about 87% of all farms in Ohio."

Farmers and the agricultural industry impact job and business sectors throughout the U.S. and contribute roughly $9.5 trillion, or nearly 20%, to the national economy.

Agriculture economists say farming recession, trade without China causing 'severe' financial squeeze

Ag Economists’ Monthly Monitor graph

Agriculture economists share a bleak outlook for American farmers."The financial squeeze gripping row crop agriculture is only growing more severe, according to the latest Ag Economists’ Monthly Monitor. As of September, 91% think the U.S. crops sector is in a recession, which is an all-time high for the anonymous survey," reports Tyne Morgan of Farm Journal.

Without orders from China, low soybean sales continue to be the "biggest drag on the farm economy," Morgan explains. "In fact, 77% of economists surveyed say current U.S.-China trade policies are hurting farmers." More than half of experts surveyed think China will eventually purchase U.S. soybeans.

Morgan writes, "Ag lenders in some regions, such as the mid-South, warn farmers are experiencing the most financial stress since the 1980s."

Graph by Lindsey Pound, Ag Economists’ Monthly Monitor

Looking ahead to next year, agricultural economists are divided. Morgan writes. "Fifty percent say it will be somewhat worse off or unchanged, while the other half expect the situation to slightly improve."

The Department of Agriculture plans to release its farm aid package sometime over the next two weeks. Morgan adds, "Sixty-two percent of surveyed economists said government direct payments benefit crop producers."

Trump announces plan to use tariff dollars to fund U.S. farmer bailout checks

Many U.S. farmers are harvesting crops that don't 
have a buyer. (Adobe Stock photo)

President Donald Trump announced plans to use tariff dollars to help U.S. farmers facing extreme economic strain due to high input costs and poor trade opportunities. Grace Yarrow and Meridith Lee Hill of Politico report, "Trump said he will use tariff revenue to offer cash bailouts for farmers who are struggling with trade uncertainty and other economic headwinds."

Trump told reporters, "We’re going to take some of that tariff money that we made, we’re going to give it to our farmers, who are, for a little while, going to be hurt until the tariffs kick into their benefit. . . .So we’re going to make sure that our farmers are in great shape, because we’re taking in a lot of money.”

Some Republicans share Trump's preference for tapping tariff dollars to help farmers, but other GOP lawmakers worry the plan "could run into roadblocks if the Supreme Court decides Trump’s tariffs are not legal," Politico reports. Several Republicans also cite what Democrats might ask for in return for agreeing to use tariff dollars to fund farmer checks.

While the Trump administration has promised to deliver better trade deals, American farmers are still waiting. Meanwhile, lobbyists and lawmakers from farming districts are pushing hard for a farm aid package to be passed soon. 

American farmers worried about lack of soybean sales to China; trade war could wipe out a 'generation of farmers'

China usually buys 51% of U.S. soybeans every year.
(Unsplash photo)

A North Dakota soybean farm is expected to lose $400,000 this year due to China’s boycott of American soybeans because of tariffs President Trump placed on Chinese goods, Alan Rapperport of The New York Times reported.

That farm is just one of many being hurt by the tariffs and trade wars. “Are we going to lose a generation of farmers because of the trade war? I think that’s what we’re fast approaching,” Justin Sherlock, a farmer and president of the North Dakota Soybean Growers Association said in an interview with Rapperport. 

China has used its status as a major consumer of American agricultural products since Trump’s first term to strategically pressure the administration toward more favorable trade deals. This year soybean farmers have taken a major hit, but China has also scaled back purchases of other products as well.

The Department of Agriculture (USDA) has considered rolling out aid for farmers impacted by China’s pushback against tariffs.

“Farmers tend to live in Republican states that voted for Mr. Trump, so harming them economically threatened a core constituency,” Rapperport wrote. In other words, the livelihoods of American farmers have become bargaining chips in the U.S.-China trade war.

Farmers in North Dakota are increasingly worried that a deal will not be made in time for the nearing soybean harvest season. And for an industry that is already struggling to stay afloat, that could mean more farm closures.

US-China trade war has hurt American soybean sales

American soybean farmers head into the harvest without
sales to China. (Photo by Daniela Paola Alchapar, Unsplash)

One quarter to a third of American soybean exports were purchased by China before the US-China trade wars began in 2018, Keith Bradsher from The New York Times reported.

Now American soybean exports to China have fallen to zero. China has boycotted buying the crop in retaliation of tariffs imposed by the Trump Administration on Chinese imports. China now buys soybeans from Brazil.

“The pain is being felt in Midwest states, especially Illinois, Iowa, Minnesota, and Indiana. For the first time in many years, American farmers are preparing to harvest their crop this fall with no purchase orders from China,” Bradsher wrote.

Farmers in rural China are also facing the impact of the trade war.

Because of rising demand, soybeans can fetch higher prices, and thus some farmers in Heilongjiang Province (where the greatest output of soybeans in China comes from) are turning a profit.

However, the crop yield from Chinese soybean farmers in Heilongjiang Province is not enough to supply all of China, and many farmers in the area do not want to grow soybeans because it requires more effort and overall is less profitable than corn. At the same time, rural areas face labor shortages as the youth move to the cities for higher paying jobs.

Quick hits: Radioactive shrimp; soybean farmers seek deal; tractor pulls; veggie-flation; 515-mile lightning strike

Radioactive shrimp were recalled as a precautionary
measure. (ABC video graphic)

Earlier this week, the FDA issued an urgent recall for Indonesian shrimp sold at Walmart that may contain radioactive materials. "Certain Great Value raw frozen shrimp products sold at Walmart are being recalled due to possible contamination with Cesium-137, a radioactive isotope," reports Erin Keller of the Independent. FDA shrimp recall details are here.

With their fall harvests almost ready, American soybean farmers sent the Trump administration a letter asking for a trade deal with China. "China, the world's largest soybean buyer, is turning to Brazilian cargoes amid trade tensions with the U.S. and ongoing negotiations," reports Leah Douglas of Reuters. "The country has not pre-purchased soybeans from the upcoming U.S. harvest, an unusual delay that has worried traders and farmers. . . . China bought 54% of U.S. soybean exports in the 2023-2024 marketing year, worth $13.2 billion."

Langford's tractor pull has increased in popularity since
beginning in 1946. (Photo by Zach Jaworski, NPR)

Annual tractor and truck pulls have grown into major events for some rural communities. Little Langford, New York, hosts its tractor pull for two days every August. "Spectators gather on wooden bleachers flanking a long dirt runway, forming an arena that seats 4,000 people — more than the surrounding area's total population," reports Zach Jaworski of NPR. Richard Love, one of the officials at this year's Langford pull, told Jaworski, "It's non-stop action and it's just kind of a big party here." Jaworski adds, "This event in Langford has been held annually since 1946."

After U.S. Department of Labor agents zeroed in on the Marino family farm in New Jersey and uncovered a paperwork violation, they shackled the family's business with administrative red tape, fines and a ruling from a DOL court. Finally, after years of litigation, "a panel of independent federal judges unanimously ruled DOL’s actions in violation of the Constitution. . . and the Marinos were vindicated," reports Chris Bennett of Farm Journal. But the DOL's damage remains -- the Marino family farm that operated for 125 years is gone. Joe Marino told Bennett, "I never thought honesty and facts wouldn’t matter in America, but that’s what happened."

Chart by Axios, from Bureau of Labor data

As U.S. consumers watch the prices for essentials continue to fluctuate, produce costs could become the next budget worry. "Wholesale prices for fresh veggies soared by a record amount last month, foreshadowing a possible spike at the grocery store soon," reports Ben Berkowitz of Axios. "The Producer Price Index for July rose at the fastest clip in three years, far more than economists expected. . . . Per Bureau of Labor Statistics data, it's also the largest monthly increase ever recorded in a summer month (June-August), in figures that go back to 1947." 

A visualization of the megaflash that extended 515 miles, roughly the distance from Dallas to Kansas City, Mo. (Photo by Michael Peterson, GTRI via The Wall Street Journal)

The raw energy released in an average lightning bolt could power a small town for an entire day. With that in mind, consider the energy released during a recently detected lightning flash that zipped along the Great Plains in 2017. It was a "record-setting strike that lasted more than seven seconds and stretched 515 miles, from eastern Texas almost to Kansas City, Mo.," reports Eric Niiler of The Wall Street Journal. "The massive size of the megaflash, which touched ground in five states in 2017, was revealed by a new analysis of satellite imagery from the National Oceanic and Atmospheric Administration. . . . The average lightning strike is between 2 and 10 miles long."

U.S. and China push pause on tariffs, and while businesses and some farmers celebrate, 'repercussions will linger'

The U.S. and China will reduce reciprocal tariffs
by 115%. (Adobe Stock photo)

The United States and China agreed to scale back their reciprocal tariffs in an effort to ease tensions as they begin trade negotiations.

Both countries agreed to "temporarily reduce the punishing tariffs they have imposed on each other," report Daisuke Wakabayashi, Amy Chang Chien and Alan Rappeport of The New York Times. "The Trump administration [has] backed off, for now. . . and agreed to hold more formal talks with Beijing after companies and consumers started showing signs of economic strain."

According to the 90-day rollback agreement, the United States would "reduce the tariff on Chinese imports to 30% from its current 145%, while China would lower its import duty on American goods to 10% from 125%, the Times reports. "China said it would suspend or revoke countermeasures adopted in retaliation for escalating tariffs."

Treasury Secretary Scott Bessent suggested "the two countries might discuss deals for China to purchase more American goods. Such a deal could help narrow the American trade deficit with China," the Times reports. "The agreement breaks an impasse that had brought much trade between China and the United States to a halt."

Despite some room for celebration by businesses from both countries, the past weeks of tariffs have taken a toll. The Times reports, "Businesses are likely to encounter pent-up demand, leading to higher transport prices, as companies race to schedule shipments during the 90-day negotiating window. . . . Global stock markets jumped with the announcement."

The reduced tariffs were an especially welcome change for U.S. soybean farmers. "Soybean futures surged in overnight trading . . . ," reports Tony Driebus of Successful Farming.

U.S. dairy industry sees a positive side to new tariffs. Grain and soybean farmers share a pessimistic outlook.

Graphic by Lindsey Pound, Dairy Herd Management

The U.S. dairy industry says the new reciprocal tariffs announced by President Trump could end in a "net positive" for the sector, reports Rhonda Brooks of Dairy Herd Management.

Gregg Doud, President and CEO of the National Milk Producers Federation, issued a statement supporting the tariffs: "'Tariffs can be a useful tool for negotiating fairer terms of trade. . . .We are glad to see the administration focusing on long-time barriers to trade that the European Union and India have imposed on our exports. If Europe retaliates against the United States, we encourage the administration to respond strongly by raising tariffs on European cheeses and butter. We also appreciate the president’s recognition of the sizable barriers facing U.S. dairy exports into the Canadian market.”

Krysta Harden, president and CEO of the U.S. Dairy Export Council, "gave added perspective on the new tariffs being rolled out, " Brooks adds. Harden said, "A firm hand and decisive approach to driving changes is most needed with the European Union and India to correct their distortive trade policies and mistreatment of American agriculture."

A partial list of the countries and their tariff percentages to be levied include:

• China - 34%
• European Union - 20%
• Vietnam - 46%
• Taiwan - 32%
• Japan - 24%
• India - 26%
• South Korea - 25%
• Thailand - 36%
• Switzerland - 31%
• Indonesia - 32%

Grain and soybean farmers have a gloomier outlook on how the tariffs might alter their market share and future income. "During the 2018 trade war with China, U.S. agriculture experienced more than $27 billion in losses, according to the American Soybean Association," Brooks adds. "The association says the U.S. has yet to fully recover its former market share of soybean exports to China, the world’s No. 1 buyer of the commodity."

North Dakota farmer and rancher Chase Dewitz weighed in on the "pain" the new tariffs will cause agribusiness stakeholders. He told Brooks, "Everyone says, ‘this needs to be fixed,’ and then on the backside they say, ‘as long as it doesn’t affect me.' Well, it’s going to affect everybody.”

As industries try to move away from using products with 'forever chemicals,' here's one possible replacement

Soy oil has multiple uses in food and
industry. (Wikipedia photo)

PFAS, also known as forever chemicals, have been linked to human illnesses and diseases but are still being used in commercial products because there isn't a functional substitute.

One of those products is firefighting foam, but Wisconsin farmers think they may have a solution, which was recently tested in Dalton, Georgia, reports Courtney Everett of Wisconsin Public Radio. "Farmers and volunteer firefighters were using a new soybean-based product called SoyFoam, which holds the potential to significantly reduce the health risks associated with PFAS exposure."

Wisconsin Soybean Marketing Board President Pat Mullolly, who was present at the demo, told Everett, "It looked like the consistency of paint. It was a brown-type substance, maybe a little bit thicker than salt. They inject that into the water stream, and it creates foam." Everett added, "According to Mullolly, the biodegradable foam could eliminate the use of PFAS in firefighting foam. The chemicals have been linked by the U.S. Fire Administration to health risks and groundwater pollution."

Although SoyFoam technology is in the testing phase, "Mullolly is hopeful the product and other ongoing state projects can grow Wisconsin's agricultural economy," Everett reports. "Economic opportunities for soybean farmers across the United States are growing, Mullolly added." He told Everett, "There's some soy oil in Goodyear tires and Sketchers shoes. Dalton, Georgia, is the world headquarters for Astroturf, and they're using soy oil in their polyurethane."

Farmers are bullish on biodiesel vs. ethanol, but biodiesel's five-year outlook is not as clear to them, Purdue reports

As demand for biodiesel increases, it may outpace ethanol as a renewable energy source. "Farmers are far more bullish about the chances of expansion of the renewable diesel industry than in ethanol, the dominant 'green' fuel in rural America, said a Purdue University poll on Tuesday," reports the Food & Environment Reporting Network. "The telephone survey for the monthly Ag Economy Barometer also found nine of 10 farmers expect higher soybean prices at the farm gate as more and more renewable diesel fuel reaches the market."

Farmers have differing views on what the biodiesel market will look like in five years. "Some 46% of farmers said they believed the renewable industry would be larger; a quarter said they believed the ethanol industry would be larger; 55% said they expected it would be 'about the same' size," FERN reports. "Larger production of renewable diesel would boost soybean prices, said the lion's share of producers polled by Purdue."

As an alternative fuel, "Renewable diesel is an infant industry with 2022 production of 2.6 billion gallons," FERN reports. "But the number of plants producing the fuel could double, to 32, by the end of 2025, which would raise production capacity to 6 billion gallons, said the farmdoc daily blog last week. 'The renewable diesel boom that began in earnest during 2021 looks to continue unabated over the next few years. Driven by policies in place to stimulate investment, another doubling of renewable diesel capacity by the end of 2025 appears to be feasible.'" The Ag Economy Barometer is available here.