This afternoon, President Trump will announce an anticipated $12 billion bailout package for U.S. farmers impacted by his trade war with China. Recent Food & Water Watch analysis of President Trump’s $32 billion in bailouts for farmers during his first term trade war, found that the relief was applied inequitably, excluding specialty crop growers, and ultimately contributing to worsening agricultural sector consolidation.

The news comes days after Trump signed an Executive Order urging the Department of Justice and Federal Trade Commission to investigate price fixing and anti-competitive practices at the largest foreign-controlled food corporations. The move was a reversal of Trump’s August rescinding of a Biden administration Executive Order ordering agencies to investigate the impacts of consolidation on food sector competition.

Food & Water Watch Senior Food Policy Analyst Rebecca Wolf issued the following statement:

“Bailouts are a denigrating Band-Aid to farmers whom decades of misguided domestic policy have left vulnerable to trade wars. Trump’s tariff tantrum and belittling bailouts will deepen agricultural sector consolidation, funneling money to a powerful few corporations, while running farmers further into the ground.

“If Trump is serious about helping farmers, lowering sector consolidation and dropping food prices, he needs to look in the mirror. Chaotic tariff tantrums are no way to run farm policy. U.S. farmers need fair prices, regional food markets, and policies that reward sustainable, humane production models — not trade wars.”

In the wake of Trump’s first term trade war, recent Food & Water Watch analysis found that:

• Farm bankruptcies rose 24% from 2018 to 2019.
• The number of farms harvesting soybeans decreased by 10.7% while the number of soybean farms with 1,000 acres or more increased by 5% from 2017 to 2022.
• The number of farms fell 7% from 2017 to 2022, hitting small farms and Black producers hardest.
• Bailout funds flowed to the largest operations and multinational corporations.

For years, Food & Water Watch has been cataloging the impacts of an anticompetitive consolidated corporate ag sector on consumers, farmers and the environment. For more, see the recent “Economic Cost of Food Monopolies” series investigating the retail grocery, pork, dairy, and egg industries.