By Andi Anderson
U.S. farmers were expected to increase corn acreage in 2025, but tariffs and rising fertilizer costs are creating uncertainty in planting decisions. Market signals had favored corn, but trade policies and economic factors are now shifting focus toward soybeans.
Tariffs and Market Uncertainty
President Donald Trump’s new tariffs on products from Canada, Mexico, and China have disrupted projections. Corn prices, which had risen earlier in the year, declined sharply as export markets became uncertain. Farmers, initially planning to plant more corn, are now reconsidering due to potential trade restrictions.
Projected Corn and Soybean Acreage
USDA estimated that farmers would plant 94 million acres of corn, an increase of 3.4 million acres from the previous year, while soybean acreage would drop to 84 million acres. However, with tariff concerns and rising input costs, farmers may shift more land back to soybeans.
Fertilizer Prices Impact Corn Planting
Corn production requires significant fertilizer inputs, and prices have spiked due to tariffs. Potash prices rose from $303 per ton in January to $348 in February. With a 25% tariff on Canadian imports, farmers may face even higher costs.
Farmers Adapting to Market Conditions
Many growers remain uncertain about their planting choices. Illinois farmer Ryan Frieders noted that declining corn futures have made decision-making challenging. Despite signals still favoring corn, economic conditions may push more farmers toward soybeans.
With spring planting approaching, U.S. farmers must navigate trade policies, input costs, and market shifts to make the best choices for their operations.
Photo Credit:gettyimages-studio2013
Categories: Illinois, Crops, Corn, Soybeans, Government & Policy