By JAN McLAUGHLIN
BG Independent News
Farmers are accustomed to fluctuations in the weather and the markets. But the repercussions of the Trump Administration’s tariffs have farmers across the nation wondering if they can hang onto farms that have been in their families for generations.
“Our grain prices are way down because of China not buying beans,” said Kris Swartz, who farms just under 2,000 acres in Perrysburg Township.
At the same time, tariffs have led to all-time high fertilizer costs. Wheat is a difficult crop to manage during an economic downturn, since it requires a lot more fertilizer, Swartz said.
“It’s pretty dismal right now,” Swartz said. “We’re in a really tough situation.”
On top of those financial hardships, this region has been seeing drought conditions since the beginning of July, limiting yields from corn, soybean and wheat crops.
“We’re not going to yield our way out of this problem,” Swartz said.
“It’s getting downright ugly for a lot of farmers,” he said.
Paul Herringshaw, who farms about 2,300 acres with his son in Liberty Township, said the supply and demand system is not working.
“There is simply more product than there is demand,” with much of the nation’s acreage planted in corn this year experiencing bumper crops – except in this region due to the lack of rain.
The biggest hit is being seen with soybeans, with China not buying from the U.S.
“I suspect China has made a conscious decision” because of the tariffs, Herringshaw said.
That has led to lower soybean prices in this region. The problem is worse west of the Mississippi River, where grain elevators aren’t even offering bids for harvested beans.
“It’s one thing to take a shellacking on the price,” Herringshaw said. But there is no way for farms to recover if elevators are turning them away.
“I’ve never seen that before. I hope me and my son never see that here,” he said.
Meanwhile, the prices of herbicides and insecticides – normally purchased as lower cost generics from China – are costing farmers much more.
Farm equipment, which rely heavily on computer chips, is also costing much more.
“Nothing is 100% U.S. made,” Herringshaw said.
Herringshaw feels for farmers west of the Mississippi, who have to figure out how to store acres of soybeans till next year.
“I honestly don’t know what their options are,” he said. “And once you start stockpiling, it affects everybody.”
“Things are not good. Could there be some farmers who go under? Maybe next year,” Herringshaw said.
The severe economic distress has some farmers fearing the worst – the end to making a living off the land as those who came before them.
“There’s always the talk,” Swartz said. But this year, he is hearing from fellow farmers that they may not be able to pay off their 2025 loans. Carrying that loss into 2026 will be an even greater strain if the tariffs are still in place.
Most local farmers do have crop insurance, he said. But just like homeowner and vehicle insurance, “it’s never a good situation using the insurance.”
Meanwhile tariffs are also leading to skyrocketing equipment costs. So most farmers are making repairs rather than buying new. But even that is depressing right now, since it’s not unusual for farmers to walk out of ag equipment businesses with two handfuls of parts costing $2,000, Swartz said.
Further south in Wood County, Jim Carter of Bloom Township isn’t sure how much of the current situation is caused by tariffs or just by world economics.
The increased expenses to farms, the lower commodity prices, and the dry weather creating lower yields all have local farmers concerned about their livelihoods.
“I’m sure that’s in the back of people’s minds,” Carter said. “I don’t know what the future is.” Carter is wondering if some of the issues are just an adjustment, possibly due to the U.S. not being tough enough with its trade policies in the past.
“I think there’s still some optimism that it can get better,” Swartz said.
But national news coverage is painting a grim picture based on information from agricultural experts and farmers themselves.
Since Trump imposed tariffs on Chinese goods in February, Beijing has retaliated by halting all purchases of American soybeans. That decision has had devastating repercussions for farmers in North Dakota, which exported more than 70% of its soybeans to China before Trump unveiled the new tariffs this year. Unless China agrees to restart its purchases as part of a trade deal, farmers who depend on the Chinese market will be facing steep losses that could fuel farm bankruptcies and farm foreclosures around the United States.
According to Newsweek, bankruptcy filings for farms in the U.S. have doubled so far this year.
The closure of U.S. Agency for International Development (USAID) has also had an impact, since that program was one of the largest buyers of U.S. grown crops as it spent around $2.1 billion a year providing worldwide food aid.
After China retaliated against Trump’s tariffs with a 10% tariff of its own on U.S. goods, as of Aug. 27, not a single U.S. soybean cargo had been purchased by China, Ian Sheldon, a chair in agricultural marketing, trade and policy at the Ohio State University, told Newsweek.
Both Mexico and Canada are also major buyers of U.S. crops, and Trump’s additional trade war with these countries threatens further destabilization of farmers’ main sources of sales.
Trump’s policies have also targeted small and mid-sized specialty producers.Those farmers saw strong market growth in recent years, thanks to federal programs such as the Local Food Purchase Assistance and Local Food To Schools programs, which helped food banks and schools buy food from farmers.
However, when Trump took office in January, he froze and then canceled many of those programs. The U.S. Department of Agriculture also canceled programs that support farmers to transition to farming methods that make their operations more resilient in the face of climate change.
