May 30, 2025

Federal Court Blocks Trump’s Tariffs

A federal court blocked President Donald Trump’s plan to impose tariffs on imports from almost every country in the world. Yahoo says a three-judge panel of the U.S. Court of International Trade ruled that Trump overstepped his authority when he invoked the 1977 International Emergency Economic Powers Act to declare a national emergency and justify the sweeping tariffs. The tariffs overturned decades of U.S. trade policy, disrupted global commerce, destabilized financial markets, and heightened the risk of rising prices and a domestic and international recession. The court’s decision blocks the tariffs Trump put in place during April on almost all of America’s trading partners and levies he imposed before that on China, Mexico, and Canada. The Court of International Trade has jurisdiction over civil cases involving trade. Its decisions can be appealed to the Federal Circuit Court of Appeals, where the legal challenges to the tariffs will likely end up.

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Rural Mainstreet Index Stays Below Growth Neutral

The May Rural Mainstreet Index fell below the growth-neutral reading of 50.0 for the 19^th time in the past 20 months. The ten-state region covered by the Index came in at 44 during May, up from 40 in April. The index ranges between 0 and 100, with 50 representing growth neutral. “According to the bank CEOs in our survey, the economic outlook for 2025 farm income remains weak,” said Ernie Goss of Creighton University. “Almost one in four bankers rate tariff retaliation from trading partners as the top risk facing farmers this year.” Sixty-eight percent say lower commodity prices are the major risk for farmers. For the 12^th time in 13 months, farmland prices sank below growth neutral. Farm equipment sales also dropped below growth neutral for the 21^st straight month. Regarding the tax deliberations in Congress, 54 percent of the rural bank CEOs argue for extending the 2017 tax cuts.

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USDA to Provide One Billion Dollars to Livestock Producers

Ag Secretary Brooke Rollins announced the release of congressionally mandated Emergency Livestock Relief Program payments to cover grazing losses due to drought or wildfire events in 2023 and-or 2024. The USDA’s Farm Service Agency is leveraging existing Livestock Forage Disaster Program data to streamline the payment calculations and expedite relief. Emergency relief payments are automatically issued for producers who have an approved LFP application on file for 2023 and-or 2024 and do not have to contact USDA to receive payments. “The Ag Department is stepping up to support livestock producers by expediting disaster payments when drought and wildfires strike,” said Rollins. “USDA has the backs of farmers and ranchers, and that is why we are delivering much-needed emergency relief.” The American Relief Act of 2025 provided funds for emergency relief payments. FSA will announce additional ELRP assistance for other losses authorized by the Act, including losses from flooding, later this summer. 

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New Campaign Against Prop 12 Begins

The Center for Environment and Welfare launched a new educational campaign urging Congress to stop the far-reaching consequences of California’s Proposition 12. The Center calls it an “overreaching law” that’s driving up U.S. grocery prices. The “Food Price Fix” campaign has a website, educational video, and a letter-writing initiative asking voters to contact their lawmakers and urge them to pass a federal fix. “Consumers who have never been in California are paying the price for its overreaching, inflationary law,” said Will Coggin, research director for the CEW. “Legislators must nullify Prop 12 and bring down grocery prices for hard-hit American families.” The campaign comes at a time when most Americans are worried about affording groceries, with low-income households reporting the most prevalent stress. Prop 12 banned the sale of most eggs and pork in California, only allowing the sale of specialty, higher-cost products like free-range eggs and pasture-raised pork.

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Competitive Markets Groups Take to Capitol Hill

Competitive Markets Action and the Organization for Competitive Markets are issuing a call for the public and lawmakers to oppose the “Food Security and Farm Protection Act.” The groups held their sixth farm bill summit and Washington fly-in since 2023 focused on defeating the legislation formerly known as the EATS Act. Marty Irby, president of Competitive Markets Action, says as Congress focuses on reconciliation, it’s important not to lose sight of the urgent threat to farmers and state sovereignty now waiting for action in the Senate Ag Committee. “This assault on American family farmers would overturn and nullify countless agriculture laws enacted by voters and legislatures in all states,” Irby said. Taylor Haynes, president of the Organization for Competitive Markets, said Senate Bill 1326 is a “naked effort” by America’s largest agricultural producers to do an end-run around the U.S. Supreme Court and give foreign adversaries a bigger choke hold on U.S. agriculture. 

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MAHA Report Could Hurt Farmers and Consumers

The National Corn Growers Association responded to the Making America Healthy Again Committee report which raised unfounded questions about the safety of pesticides. The NCGA released a report speaking to the economic impact of widely-used technologies like atrazine and glyphosate. “U.S. farmers consistently raise abundant crops that provide consumers with reliable, low-cost access to food,” said NCGA Chief Economist and Illinois farmer Krista Swanson, who authored the report. “One of the central tenets to producing crops is controlling pests that when left unchecked can reduce corn yields by up to 70 percent.” She also says the safety and efficacy of pesticides have been repeatedly tested and documented for decades. The report says farmers would face at least a 60 percent cost increase if they were to switch from glyphosate and atrazine to alternative herbicides. Glyphosate and atrazine have been registered as U.S. pesticides since 1974 and 1958, respectively. 

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