The Trump administration rolled out new initiatives aimed at giving U.S. farmers some support ahead of spring fieldwork, pairing higher biofuel mandates with easier access to federally backed loans.
At a White House event Friday, President Donald Trump said the administration is moving to help producers facing stubbornly weak crop margins and rising input costs, while also signaling he would look for additional relief through Congress.
The headliner came from the Environmental Protection Agency, which finalized its 2026-27 Renewable Fuel Standard (RFS) “Set 2” rule. The EPA said the rule sets the highest biofuel requirements in the program’s history.
The conventional renewable fuel requirement - which underpins corn ethanol demand - will remain at 15 billion gallons in both 2026 and 2027. Meanwhile, overall renewable fuel obligations, including a 70% reallocation of gallons lost through prior small-refinery exemptions, were set at 26.81 billion gallons for 2026 and 27.02 billion gallons for 2027. The EPA said meeting the new levels will require biodiesel and renewable diesel production and use to rise by more than 60% from 2025 levels.
The biofuel rule could add $3 billion to $4 billion to net farm income, Agriculture Secretary Brooke Rollins said in an EPA release.
Further, the EPA said that starting in 2028, foreign fuels and feedstocks will receive half the RFS compliance value compared to American-made products, “providing American biofuel producers with time to prepare for the change while ensuring that American farmers benefit from the RFS program and American energy independence. “
The second major announcement came from the Small Business Administration (SBA), which unveiled a new 90% “Grocery Guarantee” through its International Trade Loan program. The enhanced guarantee is designed to reduce lender risk and steer more capital into the food supply chain. Starting May 1, eligibility will expand to a broad set of businesses, including grain and oilseed farms, livestock operations, farm suppliers, grocery wholesalers, trucking firms and refrigerated or farm warehousing businesses. The SBA said the goal is to help finance added production, processing and distribution capacity while lowering food costs for consumers.
Trump also used the event on Friday to press equipment makers such as John Deere, Case and Caterpillar to lower machinery costs.
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