Apr 14, 2025
The threat of wide-ranging tariffs against America's trade partners has farmers across the country on edge, as many rely on imports for their operations.
On March 4, President Donald Trump imposed 25% tariffs on imports from Canada and Mexico. A couple of days later, he delayed tariffs on products compliant with the United States-Mexico-Canada Agreement (USMCA). In the weeks since, Trump has imposed and paused tariffs on goods from most nations — most notably, many products from China are now subject to a 145% tariff. Meanwhile, a number of countries have implemented or threatened retaliatory tariffs of their own on U.S. goods.
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All of this has led to a tremendous amount of uncertainty for businesses.
"I can't lie. I mean, you're a little bit anxious,” Rick Persinger, a corn and soybean farmer, told WRTV Indianapolis. "This is a little bit unprecedented for me, because I've never really seen our country do what it's doing right now."
So, how could farmers be impacted by tariffs, and what can Americans do in the face of high food prices?
Tariffs could make life hard for crop growers
One particular product farmers are keeping an eye on regarding tariffs is potash — a key fertilizer ingredient that boosts plant growth and contributes to higher crop yields. Around 80% of U.S. potash imports come from Canada, according to government data. Canada produces more potash than any other nation worldwide.
When Trump delayed tariffs on goods compliant with the USMCA, he also lowered the levy on non-USMCA-compliant potash to 10%. It's not known if he will make a similar exception on remaining potash imports when (or if) the delay ends.
"It's very hard to make long-term plans when you have this much uncertainty," Persinger said of the rapidly changing landscape. "It's going to affect our bottom line."
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American Farm Bureau president Zippy Duvall also stressed the potential nationwide cost of these tariffs on farmers.
“Adding even more costs and reducing markets for American agricultural goods could create an economic burden some farmers may not be able to bear,” he said in a statement.
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How can consumers respond to high food prices
Tariffs may impact demand for incoming (and outgoing) products, which can affect operation costs, crop yields and ultimately prices. As of March 2023, around 15% of the country's food supply was also imported, according to the Food and Drug Administration, and the increased cost to bring in those goods could be passed on to consumers.
Those who want to try to keep their grocery bills from jumping too high have a few options. One is to consider joining a community-supported agriculture group, which can give you access to a selection of in-season food from a farm to be received on a set schedule. You can also look into whether you can buy a share of a cow or pig to get meat directly from a local farmer. This can be less expensive than buying from a supermarket.
In addition, consider switching away from high-ticket meal items little by little to help keep costs down. You may also want to center your shopping around store sales and plan your meals based on what's featured in discount flyers each week.
Taking these steps could help you minimize the damage that tariffs could have on your food expenses so you don't struggle more than you need to to put food on the table.
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Christy Bieber has 15 years of experience as a personal finance and legal writer. She has written for many publications including Forbes, Kilplinger, CNN, WSJ, Credit Karma, Insurify and more.
