The US federal government shutdown that began on Wednesday has dealt a severe blow to American farmers already grappling with falling crop prices, record debt and ongoing trade tensions during the critical harvest season.
Under the shutdown protocol, nearly half of the USDA’s 85,000+ staff have been furloughed. Key services—from processing farm loans to distributing disaster aid payments—are now on ice. That means bills for seeds, fertilizer and equipment must still be paid, but relief is nowhere in sight.
Arkansas sheep farmer Tim Wells had planned to apply for disaster relief after extreme weather damaged his flock. “The way the farm economy’s been, nobody needs to wait because it takes so much just to operate,” he told Reuters. Now his application is on hold indefinitely.
On top of the shutdown squeeze, international buyers are seeking alternative suppliers amid US-China trade tensions, and a record corn harvest is expected to further depress global prices. Input costs continue to climb, and farmers’ debt levels have hit historic highs—putting many operations on the brink.
Gary Wertish, president of the Minnesota Farmers Union, described the compounded pressure: “The government shutdown comes at a time when tariffs are already severely impacting agricultural producers—it’s a two-punch situation.” Under Minnesota’s mediation law, lenders must offer farmers mediation before foreclosure. Wertish reports, “We’re only about two-thirds into 2025, yet we’ve already have more requests for mediation than we did all of 2023 and 2024.”
As the harvest winds down and uncertainty looms, US agriculture’s challenges are rippling into global markets. With federal support stalled and trade barriers intact, farmers face a season of tough choices and rising risks.
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US agriculture takes a double punch from shutdown and tariffs
cgtn.com
