The Trump administration is preparing to announce a $12 billion aid package intended to assist American farmers facing economic difficulties due to tariffs imposed during ongoing trade conflicts, particularly with China. This announcement is expected to occur during a roundtable event at the White House, featuring key officials such as Treasury Secretary Scott Bessent and Agriculture Secretary Brooke Rollins.

The aid package, referred to as Farmer Bridge Assistance, will allocate up to $11 billion for one-time payments to farmers, with an additional $1 billion set aside for crops not initially included in the program. Eligibility for these payments will be limited to farmers whose adjusted gross income over the past two tax years does not exceed $900,000. The amount each farmer receives will depend on the acreage of crops reported to the Department of Agriculture, with applications accepted until December 19. Payment rates are expected to be announced by the end of the month, and the program is anticipated to be finalized by the end of February 2026.

This financial support comes in response to the significant pressures within the agricultural sector, exacerbated by retaliatory tariffs from U.S. trading partners, which have led to reduced demand for American agricultural products. Farmers have expressed concerns regarding the sustainability of their operations amid fluctuating market conditions influenced by governmental trade decisions. Notably, while farmers have generally supported Trump politically, his trade policies have drawn criticism for their adverse effects on the agricultural sector.

Recent reports indicate that China has begun to increase its soybean purchases following an agreement between President Trump and Chinese President Xi Jinping aimed at easing trade tensions. However, this increase is still a fraction of the total that China had previously pledged to buy. The funding for this aid package will come from the Farm Service Agency, following an earlier allocation of $28 billion in taxpayer funds to assist farmers affected by similar tariff-related issues during Trump's first term. The complexities of trade relations and their impact on domestic industries reliant on exports underscore the ongoing challenges faced by the agricultural sector.