President Trump said his administration plans to deliver $8 billion in assistance to farmers struggling with record diesel prices.
Speaking at a rally in Kansas on Monday night, Mr. Trump announced that the Department of Agriculture would create a new Harvest Fuel Relief program to help cover farmers’ diesel expenses during the harvest season. “Tonight I’m also pleased to announce that the Department of Agriculture will be launching a new Harvest Fuel Relief program, providing our farmers with $8 billion in support to offset diesel costs during this harvest season,” he said.
Mr. Trump also promised additional assistance if Republicans prevail in upcoming elections. “When Republicans win, we will pass even more funding for our farmers. We love our farmers,” he said.
The announcement follows an executive order Mr. Trump signed earlier this month to relax restrictions on the tax-free use of red-dyed diesel, a measure intended to reduce fuel expenses for farmers and truckers. The administration also unveiled a $12 billion aid package for farmers in December.
Farmers have been under mounting financial pressures as diesel costs climb, raising the expense of operating tractors and other agricultural equipment. AAA data shows diesel prices hit a record $6.53 per gallon on Sept. 22. Although prices have eased modestly, the national average is now $6.32 per gallon, compared with $3.62 a year earlier.
“This $8 billion investment will help bring certainty to our farmers during this harvest so they can continue to feed our nation,” U.S. Agriculture Secretary Brooke Rollins said in a statement.
The USDA said the Harvest Fuel Relief program will reimburse farmers for a portion of their estimated losses during the 2026 crop year. Payments will be determined through a formula that considers acreage reported to the Farm Service Agency, projected production expenses, and crop yields and prices included in the USDA’s World Agricultural Supply and Demand Estimates report.
Payment rates for major commodity crops are expected to be released in November, while information on other eligible products will come later. Farmers will not be required to carry crop insurance to receive aid. Those preparing to apply can create a Login.gov account and connect it to their USDA profile.
The USDA forecasts that net farm income will decline 2.6% this year as production expenses increase 4.5%. Fuel and oil costs are projected to rise by nearly 30%, according to an agency forecast issued in September.
