By Andi Anderson
The Michigan Department of Agriculture and Rural Development (MDARD) has released a report warning that escalating federal tariffs are driving up food prices and hurting the state’s agriculture industry.
Governor Gretchen Whitmer highlighted the findings ahead of a speech on tariffs and the state budget, emphasizing the need for state action to protect farmers and consumers.
“Federal tariffs are raising the cost of groceries, making it harder for Michiganders to feed their families, and they are causing massive uncertainty for our farmers,” Whitmer said. She called for a bipartisan state budget to fund infrastructure and programs that keep food moving from farms to tables.
MDARD Director Tim Boring echoed those concerns, noting that tariffs are jeopardizing agricultural jobs, disrupting rural economies, and reducing access to affordable food across Michigan.
The report outlines how tariffs are squeezing a sector that contributes nearly $126 billion to Michigan’s economy and supports more than 800,000 jobs.
Retaliatory tariffs imposed by trading partners such as Canada and China—some as high as 140 percent—have sharply reduced exports. Comparing the first half of 2025 to the same period in 2024, Michigan has seen:
Soybean meal exports down 46 percent
Wheat exports down 89 percent
Fresh cherry exports down 62 percent
Fresh apple exports down 58 percent
Packaging costs are also climbing. Steel and aluminum tariffs could increase canned food manufacturers’ expenses by up to 12 percent, costs that are likely to be passed on to consumers.
During the first Trump administration, retaliatory tariffs cost Michigan farmers more than $277 million in export revenue. The latest tariff increases are amplifying those losses, creating new challenges for farms and food businesses already under pressure from market uncertainty.
Governor Whitmer and MDARD officials stress that while the state cannot change federal tariff policy, Michigan can support its agriculture sector through strategic investments and a balanced budget to maintain the flow of affordable food and protect jobs.
Photo Credit: gettyimages-eugenesergeev
Categories: Michigan, Business, Crops, Government & Policy