U.S. corn and soybean producers are sounding alarms over plummeting crop prices and rising production costs, warning of mounting financial stress across rural America.
The National Corn Growers Association (NCGA) reported that corn prices have dropped more than 50% from their 2022 peak, while production costs have declined by just 3%, resulting in losses of 85 cents per bushel. The association called on Congress and the Trump administration to boost demand through higher ethanol blends and expanded foreign market access.
Similarly, the American Soybean Association cautioned that U.S. soybean farmers are facing a “trade and financial precipice.” Ongoing tariff retaliation from China has diverted customers to South American suppliers, particularly Brazil, which has expanded production since the previous trade war. Soybean prices have fallen roughly 40% since 2022, while input costs continue to rise.
The Federal Reserve’s latest farm financial survey underscores the economic pressures, showing weakened income and deteriorating credit conditions. In some regions, up to 50% of respondents reported lower repayment rates compared to last year.
Despite these challenges, U.S. farmers are expected to benefit from government support. The One Big Beautiful Bill Act, signed in July, includes $66 billion in agriculture-focused spending, with $59 billion allocated to farm safety-net enhancements. Additionally, trade agreements with countries in Southeast Asia, including Indonesia, Bangladesh, Vietnam, the Philippines, and Thailand, may boost demand for U.S. crops such as soymeal and feed grains.
Timothy Loh, regional director for the U.S. Soybean Export Council, expressed cautious optimism: “We are anticipating higher demand for U.S. products such as soymeal and other agricultural exports into Southeast Asia.”
Farmers, however, warn that delays in trade deals and continued low prices could deepen financial strain, particularly as the harvest season approaches.
