August 27, 2026 

Soybean Growers Warn RFS Exemptions Could Cut Biofuel Demand

The American Soybean Association is warning that a surge in small refinery exemptions could sharply reduce demand for soybean-based biofuels and hurt farmers’ bottom lines. Recent reports indicate exemptions for the 2025 Renewable Fuel Standard compliance year could exceed 1.8 billion Renewable Identification Number credits—nearly double what the Environmental Protection Agency assumed when setting current biofuel blending requirements. ASA says that level of exemptions could eliminate roughly 500 million gallons of biomass-based diesel demand and cost soybean farmers about $1 billion in lost revenue. “At a time when soybean farmers are already struggling to support our farms, we cannot afford for the rug to be pulled out from under one of our most important sources of domestic demand,” said ASA Vice President Dave Walton, an Iowa soybean farmer. ASA is urging President Trump and EPA to reject expanded exemptions and preserve the demand gains created by higher biofuel blending requirements.

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Farm Bureau Warns Beef Imports Could Undercut Herd Rebuilding

The American Farm Bureau Federation is warning that President Trump’s plan to import up to 300,000 metric tons of beef over 90 days could hurt ranchers who are rebuilding herds after years of drought. Farm Bureau economists say the timing is especially concerning because about 70 percent of spring-born calves are typically sold between September and November. A surge of lower-priced imported beef could pressure cattle prices just as ranchers decide whether to expand their herds. Farm Bureau says cow-calf production costs reached a record $1,762 per head in 2025, up nearly 30 percent from 2020. In a letter to Trump, Farm Bureau President Zippy Duvall said importing beef at a 25 percent discount could discourage ranchers from making long-term investments. “Bringing down the price of cattle will not bring the price of beef down for American families,” Duvall wrote.

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Canada Sets Retaliatory Tariffs on U.S. Farm Goods

Canada is escalating its trade fight with the United States, announcing retaliatory tariffs on about $19.9 billion worth of U.S. goods, including dairy products and agricultural equipment. The Guardian says the tariffs range from 15 to 50 percent and target products covered by U.S. Section 338 and Section 232 tariffs. Canada says the measures will take effect September 8 and include a range of U.S. agricultural products, including dairy. The Canadian duties are intended to match the value of the U.S. tariffs dollar-for-dollar.  Steel, pulp and paper, electronics and household appliances are also included. The United States imposed 50 percent tariffs on roughly $20 billion of Canadian goods on August 22 after trade talks broke down. President Trump has also announced plans to raise tariffs on Canadian automobiles to 50 percent beginning January 1. The Association of Equipment Manufacturers is strongly urging U.S. and Canadian negotiators to return to the table, get the tariffs removed, and strengthen the USMCA. 

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Ethanol Production Climbs Above Five-Year Average

U.S. ethanol production increased 2.1 percent for the week ending August 21, reaching 1.11 million barrels per day, according to Energy Information Administration data analyzed by the Renewable Fuels Association. That works out to about 46.7 million gallons daily, with production 3.9 percent above the same week last year and 10.7 percent higher than the five-year average. The four-week average, however, slipped slightly. Ethanol inventories rose 0.3 percent to a 10-week high of 25.2 million barrels, nearly 12 percent above year-ago levels and the five-year average. Gasoline supplied to the U.S. market, a measure of implied demand, jumped 4.1 percent to an eight-week-high, although demand remained below both last year and the five-year average. Meanwhile, ethanol exports surged 25.6 percent to 162,000 barrels per day. It’s been over two years since the EIA indicated ethanol was imported into the U.S.

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Michigan Farmers Stress Importance Of USMCA Markets

Michigan farmers and agricultural leaders are urging continued access to Canadian and Mexican markets as the United States attempts to renegotiate the U.S.-Mexico-Canada Agreement. Congressman Tom Barrett joined producers August 11 at a roundtable hosted by Farmers for Free Trade and the Michigan Agri-Business Association at AgroLiquid in St. Johns. Farmers from across Michigan discussed how trade with Canada and Mexico affects marketing decisions, input costs, farm profitability, and long-term investments. They also emphasized the importance of maintaining reliable market access for the next generation of farmers. Barrett said competitive access to the two markets gives producers the certainty they need to keep growing food and raising livestock. “That goal — and leveling the playing field — must remain a top priority as the Trump administration renegotiates the USMCA,” Barrett said.

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USDA Unveils New Investments In School Meals

USDA and the Department of Health and Human Services are launching new efforts to connect more American farmers with local schools while improving the nutritional quality of school meals. Agriculture Secretary Brooke Rollins and HHS Secretary Robert Kennedy Jr. announced the “Harvest to Hallways” initiative, which includes up to $70 million for school cafeteria infrastructure and equipment. The effort also expands opportunities for schools to purchase locally-produced food and provides up to $25 million in additional Farm to School Grants for fiscal year 2026. Rollins said the initiative will help schools serve more American-grown food while creating new markets for farmers and ranchers. “When we strengthen the connection between the farm and the lunchroom, everybody wins: our children eat better, our farmers gain new markets, and our communities grow stronger,” Rollins said.

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