AFBF Cautions Against Tariffs on Top Trading Partners

The American Farm Bureau today sent President Donald Trump a letter expressing concern that new tariffs levied against Canada, Mexico and China may inadvertently create financial hardships on U.S. farmers and ranchers. Historically, retaliatory actions often target U.S. agriculture but then ripple throughout the U.S. economy.

“Last year, the U.S. exported over $30 billion in agricultural products to Mexico, $29 billion to Canada and $26 billion to China – our top three markets by value combined for half of total agricultural exports,” the letter states. “Any effort to impose additional tariffs on these nations’ imports runs the risk of significant retaliatory measures against U.S. agricultural exports. We ask that you carefully consider the impact on American farmers and ranchers, associated businesses and rural communities when determining potential trade actions. For decades, American agriculture has strongly supported efforts to open the world to our agricultural and other trade products.”

The letter also provides broader context about the importance of international markets to U.S. farmers and ranchers, stating, “Ninety-five percent of the world’s consumers live outside the borders of the United States and over twenty percent of U.S. farm income is based on agricultural exports. Expanding opportunities for U.S. crop and livestock producers to access international markets will boost farm income in the United States, while preserving existing access is critical to maintaining farm income. U.S. agricultural exports amounted to $174.5 billion in FY2024, and – historically – every $1 of U.S. agricultural exports results in over $2 in additional domestic economic activity.”

Over 20% of U.S. agricultural products are exported. For many commodities, the percentage is significantly higher. U.S. actions, including implementing tariffs, that ultimately increase costs and drive down prices for farmers and ranchers would be especially difficult at a moment when so many are already facing insolvency.

The letter continues, “We urge your Administration to make certain that any action taken in the near- or long-term with Canada, Mexico and China does not make it more difficult for American farm families to raise a safe and affordable crop on domestic soil.”

Read the full letter here.