Rising costs in agriculture often come from unexpected places, and trade policy is one of them. New announcements to increase tariffs on imported steel and aluminum could soon put pressure on U.S. farmers once again, particularly those running small and mid-sized operations.
Why These Tariffs Matter on the Farm
While tariffs may sound like something that only affects international trade or big manufacturing, they hit close to home for the average farmer. Steel and aluminum are essential materials used in everything from tractors and tools to barns, fencing, grain bins, and irrigation systems.
When tariffs go up, so do prices. And when equipment and infrastructure costs rise, farm budgets tighten.
A Familiar Pattern
We’ve seen this before. The last time steel and aluminum tariffs impacted farmers, equipment prices jumped, and retaliatory tariffs from other countries reduced demand for U.S. agricultural exports. Many small farms struggled with the one-two punch of rising costs and declining income.
This time around, there’s concern that the same cycle could repeat — just as farmers are working to recover from years of supply chain challenges, unpredictable weather, and price volatility.
What It Means for Small Farms
Small and independent farms are often the most vulnerable to shifts in input costs. Unlike larger agribusinesses, they don’t always have the buying power or financial buffer to absorb sharp increases in material prices. If these proposed tariffs move forward, some farmers may have to delay essential upgrades or repairs — or face higher debt to keep things running.
For farms already navigating thin margins, every added cost matters.
Why Local Food Systems Matter Now More Than Ever
When the supply chain gets squeezed and input prices spike, one of the best ways to support small farms is to strengthen their connection to consumers. At Farm Trader, we’re helping farms increase visibility and sell directly to people who care about where their food comes from.
Building a more resilient food system means giving small farms more pathways to succeed — regardless of international policy changes.
Looking Ahead
The impact of these tariffs won’t be felt just in steel yards or factories — they’ll be felt in fields and farmhouses. That’s why it’s important for farmers, advocates, and consumers alike to understand how trade decisions affect local agriculture.
