Iran

Diesel Prices Are Breaking Records Across Multiple States, And Relief May Not Come in 2026

Wed, 06 May 2026 12:53:39 GMT

On Tuesday, President Trump stated that high gasoline prices are a “very small price to pay” for the ongoing war with Iran, arguing they are necessary to prevent Iran from obtaining a nuclear weapon. He predicted prices will “come crashing down” once the war ends. But for farmers and ranchers, diesel prices have risen more than gas, putting a further strain on already high input costs for 2026.

Trump on Oil Prices:

I looked today, it's like at 102 and that's a very small price to pay pic.twitter.com/2V8LC93wFj
— Acyn (@Acyn) May 5, 2026

To start the week, diesel prices went on another run with the national average diesel price is just 20 cents away from reaching a new all-time high. And across the country, a growing number of states aren’t waiting to get there. About six states are already seeing the national average price of diesel reach record highs.

From the Great Lakes to the West Coast, roughly a half dozen states have already smashed previous records, as a late-April dip in prices quickly faded and a fresh surge took hold.

“Diesel now averaging about $5.65 a gallon nationally. That is only about 20 cents away from a new all-time record high,” says Patrick De Haan, head of petroleum analysis at GasBuddy . “So even though we had that short-lived break, we’re right back knocking on the door of records again.”

That “break” didn’t last long. De Haan says even though diesel prices saw a bit of a respite for April, with even prices starting to trend down in mid-April, those prices re-accelerated in the last week.

New records for diesel in:
Michigan, $6.01
Illinois, $6.01
Wisconsin $5.67
(Indiana 0.2c/gal away), $6.03
(Ohio ~19c/gal away), $5.93 https://t.co/DV0387vvMR
— Patrick De Haan (@GasBuddyGuy) May 5, 2026

Now, the rally is showing up in state-by-state records, especially in the Midwest.

“Looking at it state by state, Great Lakes states have seen some tremendous refining issues that have really caused prices to rise dramatically,” he says. “Michigan has now set a new all-time record high for diesel over $6. Indiana is just a few tenths of a penny away from setting a new all-time record. Illinois has set a new all-time record. Wisconsin has set a new all-time record.”

And it’s not just a regional story. States in the West were some of the first to not just see the highest prices, but now also hit record levels.

“Out on the West Coast, Arizona set a record a couple of weeks ago, and Washington state is at an all-time record,” he adds. “So there are probably about a half dozen or so states that have set new all-time records, and again, the national average itself is just 20 cents away.”

Perhaps the most telling shift, though, is there’s no longer a low-price refuge.

“No states any longer have diesel averaging below $5 a gallon,” De Haan says. “Texas was the last holdout, and it now is above $5 per gallon. So across the board, $5 diesel is now essentially the floor, and in some areas, that’s actually the cheaper end of the spectrum.”

At the high end, prices are reaching extremes with California’s average diesel price now surpassing $8 per gallon.

Global Tensions Cloud Relief Outlook

With prices continuing to climb, farmers are looking for relief. What would it take to reverse course? That answer remains tied to global uncertainty.

“Relief may be a little bit elusive,” De Haan admits. “It really just depends on the daily developments in the situation between the U.S. and Iran—whether the Strait is open or not, or whether we’re in phases of escalation.”

The Strait of Hormuz remains a critical chokepoint for global energy supply, moving roughly 20 million barrels of oil per day.

“Nothing else matters to the oil market more than this waterway,” he emphasizes. “We’ve seen attacks that have pushed oil prices higher, which in turn pushes diesel wholesale prices up. You may get a little bit of day-to-day relief, but there really is no ‘coast is clear’ until there’s some sort of definitive resolution.”

And even then, he says a turnaround won’t happen overnight.

“If there is a definitive signal to the market, if the Strait reopens and both sides are aligned, prices could start falling within 48 hours,” De Haan explained. “But the rate of decline is likely to slow after that initial drop.”

Prices Likely to Remain Elevated Through 2026

Not only is the rate of decline projected to be slow, but De Haan says diesel prices aren’t likely to drop back to pre-war levels by the end of the year.

“Roughly half of the increase we’ve seen over the last couple of months could come down within the first few months of positive news,” he said. “But the other half could take many more months. We may not get back to pre-conflict diesel prices until late this year—or even into 2027.”

For agriculture, that prolonged stretch of elevated prices carries real consequences.

“When you look at what comes out of a barrel of oil, diesel only makes up about 25%,” De Haan explained. “Gasoline is a larger portion, so it’s been less impacted. Jet fuel, which is an even smaller share, has been hit the hardest. So it’s almost inverse to how much is produced.”

Why Diesel Is Climbing Faster Than Gasoline

If it feels like diesel prices are rising faster and hitting harder than gasoline, there’s a reason rooted in how a barrel of oil gets used.

“Diesel has seen more of the sticker shock compared to gasoline,” says De Haan. “And a lot of that comes down to what comes out of a barrel of oil.”

Not all fuels are created equally in supply. Gasoline makes up the largest share of a refined barrel, while diesel represents a smaller slice, making it more vulnerable when supply is disrupted.

“Gasoline is the top product flowing out of a barrel of oil, so it’s been the least impacted,” De Haan explains. “Diesel, on the other hand, only accounts for about 25% of a barrel, so it’s been more impacted when there are supply issues.”

That imbalance becomes even clearer when looking across the full spectrum of refined fuels.

“The most significant impact has actually been to jet fuel, which is only about 9% of a barrel,” he adds. “So if you look at it inversely—the smaller the share of the barrel, the bigger the impact we’re seeing right now.”

For agriculture, that dynamic matters more than most sectors.

Diesel isn’t optional on the farm. It’s essential. From planting to harvest, it powers tractors, trucks and the supply chain that moves commodities across the country.

“Diesel is the fuel that drives agriculture,” De Haan say. “And that’s why these price increases are so impactful, not just at the pump, but all the way through the economy.”

And while prices are already elevated, the full effect is still working its way downstream.

“Consumers really haven’t even seen the full onset of some of these higher prices yet,” he adds. “That’s going to continue to trickle through in the weeks ahead.”

Demand Holding...for Now

Even with these high prices, so far, demand hasn’t shown many signs of slowing.

“We have not seen much meaningful decrease in demand yet,” De Haan says. “We’ve seen very little, if any, diesel demand destruction so far, which tells you the economy is essentially preparing to pay these prices because it still needs the fuel.”

But there are warning signs ahead.

“If diesel nationally hits $6 a gallon, that’s likely when we start to see consumption slow,” he says. “For gasoline, that number is about $5 a gallon. We’re getting very close to those thresholds.”

Until then, the pressure continues to mount. And for farmers heading deeper into the growing season, that pressure is becoming harder to ignore.

Trump Warns Fertilizer Giants Against "Price Gouging" as Costs Soar 40%

Tue, 14 Apr 2026 15:46:52 GMT

Fertilizer market volatility is once again taking center stage as geopolitical tensions disrupt global supply lines and push input costs sharply higher. New analysis shows the increase in fertilizer prices may not be over, even if the Strait of Hormuz reopens soon.

Even with the situation in Iran pushing prices even higher, the sharp increase in fertilizer prices from 2020 to now is catching attention in Washington. Not only did President Donald Trump take to social media to warn of ‘price gouging,’ but Agriculture Secretary Brooke Rollins also posted on X Monday, specifically expressing frustration over Mosaic’s response to farmers.

While Rollins and USDA Under Secretary Stephen Vaden have raised concerns over fertilizer prices this year, the president posted on Truth Social over the weekend that he is closely monitoring fertilizer prices and pledged support for American farmers.

Trump said Saturday on his Truth Social platform he is “watching fertilizer prices CLOSELY” during what he described as the US “FIGHT FOR FREEDOM in Iran”, adding that the administration “will not accept PRICE GOUGING from the fertilizer monopoly”.

On Monday, Rollins posted on X, saying she was “So disappointed in this response” from Mosaic, “especially as you decide to idle two fertilizer production facilities, removing 1 MMT of supply from the world market.”

So disappointed in this response, @MosaicCompany, especially as you decide to idle two fertilizer production facilities, removing 1 MMT of supply from the world market. 🚨

Our Great President and this Administration have our farmers' backs. 💪🌾

Any sleight of hand will not be… https://t.co/GTCxcBQNgi
— Secretary Brooke Rollins (@SecRollins) April 13, 2026

Mosaic announced last week the decision to shut down major phosphate operations in Brazil, a move the that will cut production, reduce jobs, and signal a *strategic shift in how the fertilizer giant deploys its capital.

Mosaic Company announced Thursday it will idle two phosphate facilities in Brazil as part of a broader effort to cut costs and shift capital. Mosaic expects idling of the facilities to reduce annual phosphate production by approximately 1 million tonnes. CEO Bruce Bodine says the decision reflects what he calls a disciplined focus on long-term returns.

.@MosaicCompany, you’re right that U.S. farmers are facing a difficult economic situation, only made worse by the extra $6.9 BILLION they have had to spend on fertilizer since you petitioned the government to place duties on imported phosphorus. This has played a major role in… https://t.co/UuOqjE0jBu
— National Corn (NCGA) (@NationalCorn) April 13, 2026

Mosaic and Simplot have also been in the cross hairs of the push to remove countervailing duties on Moroccan phosphate . Groups like the National Corn Growers Association (NCGA) claim the CVDs are costing U.S. agriculture $1 billion each year.

The CVDs on Moroccan phosphate were put into place by the International Trade Commission (ITC) in 2021. As the sunset review begins, more than 50 state grower groups including the Texas Corn Producers Association, sent a letter to the U.S. Department of Commerce and the ITC to revoke the countervailing duties on imported phosphate fertilizers from Morocco and Russia.

In separate filings by Mosaic and Simplot to the ITC and the Department of Commerce, both companies said the continuation is necessary to maintain a “level playing field.”

In a written response to Farm Journal, Mosaic said:

“American farmers depend on a strong domestic fertilizer industry, which in turn depends on strong enforcement of U.S. trade laws that ensure a level playing field. Mosaic is proud to support U.S. agriculture with high-quality, reliable products produced here at home.”

Iran War’s Current Impact on Fertilizer Prices

The message from the Trump adminstration comes as tensions escalate in the Strait of Hormuz, where the United States is weighing a potential full naval blockade. Ship traffic through the critical waterway has already dropped from roughly 135 vessels per day to the single digits. A complete shutdown could halt flows entirely, further increasing fertilizer prices.

The stakes are high as roughly one-third of global fertilizer shipments move through the strait, and the disruption is already sending prices higher, up more than 40% compared to a year ago.

It is the 6-week anniversary of the closure of the Strait of Hormuz. Fert price comparisons:

NOLA urea - +$230 or 49%
NOLA UAN - +$145 or 38%
Midwest NH3 - +$245 or 32%
NOLA DAP - +$130 or 21%
NOLA potash - +$10 or 3%

...corn - 2-cents or 0.5% higher#sickeningforfarmers
— Josh Linville (@JLinvilleFert) April 10, 2026

Market data shows the impact Iran is having on already high fertilizer prices. According to StoneX analyst Josh Linville says in the six weeks since the war started:

Urea prices have surged by $230 per ton, a 49% increase
UAN is up $145 per ton, or 38%
Anhydrous ammonia has climbed $245 per ton, a 32% jump.
In contrast, corn prices have barely responded, rising just two cents, or about half a percent. The divergence is putting additional pressure on farm margins.

DOJ Probe Into Fertilizer Costs Seeks Input From Farmers

The Trump administration is asking farmers to help provide information as part of an ongoing U.S. Department of Justice investigation into elevated costs for fertilizer, machinery and other key agricultural inputs, according to reporting from Bloomberg.

Bloomberg reported the effort is aimed at gathering more on-the-ground data as regulators examine whether fertilizer producers may have coordinated to raise prices. The DOJ investigation was first reported in early March, when Bloomberg said federal officials had begun looking into whether fertilizer companies engaged in price coordination.

According to the Bloomberg report, Vaden said he has already met with officials at both the Department of Justice and the Federal Trade Commission to discuss potential lines of inquiry. He also noted that farmers could play a key role in the process.

Vaden said farmers “have a lot of information that might be relevant to these investigations.”

Bloomberg previously reported in early March that the Department of Justice is investigating whether fertilizer producers colluded to increase prices.

Speaking at the North American Agricultural Journalists’ annual conference in Washington on Monday, Vaden encouraged farmer participation in the probe, emphasizing confidentiality protections.

“We need farmers to help provide us with that information on a confidential basis, so that that can help inform the investigations that are ongoing,” Vaden said, according to Bloomberg. “I think we will have a mechanism in order to help encourage that exchange of information.”

NCGA Surveys Show Not All Farmers Have Fertilizer Secured for 2026

Against that backdrop, along with fertilizer prices climbing even higher in the six weeks after the conflict started with Iran, new surveys results from NCGA highlight how those market pressures are translating to on-farm realities.

Krista Swanson, chief economist for NCGA, says the organization conducted the survey to better understand fertilizer availability from the farmer perspective. Ag Secretary Rollins has told mainstream media that 80% of farmers have fertilizer locked in for 2026, but NCGA data contradicts that figure.

“We’re hearing that number being thrown around too, which is why we really wanted to find out directly from farmers what the status is for them,” Swanson says.

NCGA Grower Survey

(National Corn Growers Association (NCGA))

A Significant Gap in Fertilizer Readiness

The surveys show that only 60% of farmers report having their nitrogen fully purchased or secured for the 2026 growing season, while 64% say the same for phosphate. That leaves a sizable portion of producers still working to lock in supplies.

“When you think about over 500,000 corn farmers in the U.S., this isn’t a small number,” Swanson says. “Our survey results indicate that over 200,000 farmers still need at least some fertilizer for this year.”

Nitrogen remains a critical input for corn production and is closely tied to yield potential. Any shortfall, whether driven by availability or cost, can directly affect productivity and profitability.

NCGA Grower Surveys

(National Corn Growers Association (NCGA))

Younger Farmers Feeling the Pressure Most

The survey also points to uneven impacts across the farm sector, with younger farmers facing greater challenges in securing fertilizer.

Swanson says younger producers reported having more nitrogen left to purchase compared to older farmers.

“You think about younger farmers that have less capital already built up in their business, maybe tighter cash flow needs because of their equity position,” she says. “This does seem to have a disproportional impact on younger farmers.”

That dynamic raises concerns about financial strain among newer operations in a high-cost environment.

Corn Acres Likely Stable, But With Reduced Inputs

Despite the challenges, most farmers are not planning to reduce corn acreage. The survey found that 80% of respondents expect to maintain their planned acres.

NCGA Grower Survey

(National Corn Growers Association (NCGA))

At the same time, fertilizer application rates may fall short. Half of the farmers surveyed say they do not expect to apply their full amount of fertilizer.

“Pairing these two together, it seems to me like we are still going to see a lot of corn acres get planted,” Swanson says. “But those corn acres will have less fertilizer than maybe what they would have otherwise had.”

That combination could limit yield potential if input reductions become widespread.

Growing Concern Shifts to 2027

While fertilizer availability remains a concern for 2026, attention is already turning to the next crop year. Fertilizer purchasing follows a rolling cycle, and planning for 2027 will begin soon.

Survey responses show that for every one farmer more concerned about fertilizer price and availability for 2026, nearly two are more concerned about 2027.

NCGA Grower Survey

(National Corn Growers Association (NCGA))

“So farmers are concerned as we look ahead to next year,” Swanson says.

The shift reflects uncertainty about how long supply disruptions and elevated prices will persist.

Supply Chain Recovery May Take Time

Even if geopolitical tensions ease, relief may not come quickly. Swanson notes that the fertilizer market is still dealing with production disruptions and supply chain backlogs.

“A short-term ceasefire has limited immediate impact on this ongoing fertilizer crisis for farmers,” she says. “Even when a permanent end to the situation is reached, we’re still looking at recovery from supply chain backlogs and halted production that could take a long time to recover from.”

Damage to key inputs such as liquid natural gas and sulfur production could take years to repair, keeping pressure on supply.

A Tightening Outlook

The NCGA survey underscores a challenging environment for corn producers. Most acres are expected to be planted this year, but not all will receive optimal fertilizer applications. At the same time, concern is building for 2027 as farmers look ahead to the next purchasing cycle.

For many producers, the issue is no longer just securing fertilizer for this season. It is navigating a period of sustained uncertainty that could shape production decisions, costs, and risk management strategies across the U.S. corn sector.

Longstanding Concerns Over Market Concentration

In September 2025, USDA and the U.S. Department of Justice signed a Memorandum of Understanding, committing both agencies to jointly examine high and volatile input costs, which included fertilizer, by scrutinizing competitive conditions in agricultural markets and enforcing antitrust laws, particularly around price setting and market concentration.

While geopolitical tensions are the latest driver of volatility, many farm groups argue the root of the problem runs deeper. Matt Perdue, president of the North Dakota Farmers Union, says ongoing federal investigations into fertilizer pricing must lead to meaningful action.

“We appreciate the administration’s investigations into input costs,” Perdue says. “But investigations don’t do anything if they’re not followed by enforcement, and they don’t do anything if we don’t learn what came out of those investigations.”

Groups like the Texas Corn Producers Association have been raising concerns about fertilizer market concentration for years. Texas farmer Dee Vaughan says the organization began studying the issue in 2020, working with the Agricultural and Food Policy Center at Texas A&M to examine pricing trends.

“We’ve been very concerned about all of our input costs, but specifically fertilizer, because it’s the one that just keeps going up almost exponentially,” Vaughan says.

He adds those studies found a shift in how fertilizer prices are determined . Historically tied closely to natural gas costs, the study found nitrogen fertilizer pricing began tracking corn prices more closely after 2010, a change Vaughan says reflects deeper structural issues.

According to Vaughan, the small number of firms controlling the market have the data and market awareness to price inputs based on farmers’ revenue potential, rather than production costs.

“They all have economists on staff,” Vaughan says. “They know exactly what our costs are, what our income is, and they’re able to extract value based on what they see as the gross income of a farmer. It’s not based on cost of production any longer.”

Diesel Prices Spike on Iran Conflict Just Ahead of Planting Season

Wed, 04 Mar 2026 15:56:38 GMT

Diesel prices spiked more than 60¢ combined on Monday and Tuesday.

It is a direct result of the supply cutoff through the Strait of Hormuz, says Alex Hodes, director of market strategy – energy with StoneX Financial Inc. Refined product movement is concentrated in the Strait, making this one of the biggest global disruptions for the oil market.

“A large amount of refined products, specifically diesel and jet fuel, transport through this Strait. That closure is causing panic in buyers of Middle Eastern diesel, one of which is Europe, which is kind of the primary maker of diesel prices globally. That’s dragging on NYMEX heating oil diesel prices as well,” Hodes says.

Nationwide Diesel Prices Up Sharply from 2025

After rising 10.8¢/gal. on Monday, the national average price of diesel rose another 8.1¢ Tuesday afternoon. It reached $3.929/gal. — a rise of almost 20¢ in two days, writes Patrick DeHaan, head of petroleum analysis at GasBuddy, in a post on X.

Data from the Energy Information Administration (EIA) shows the national average diesel price on Tuesday was up 31¢/gal. from a year ago.

Meanwhile on Wednesday morning, NYMEX heating oil futures were up nearly 68¢ from Friday at $3.26/gal. Diesel prices are based on these futures.

When compared to a year ago, NYMEX heating oil prices were up over 90¢/gal. and have risen $1.21 since December 31.

(Barchart )

They Could Climb Higher

Hodes thinks there is more upside potential for diesel fuel prices.

“Yes, I think there’s still risks that are in the market and have not really come to fruition quite yet. So ultimately, with the Strait of Hormuz closure, the question will be how long will that last,” Hodes says.

Some relief may come following a Tuesday afternoon post from President Donald Trump. He ordered the U.S. Development Finance Corporation to provide political risk insurance and guarantees for the financial security of all maritime trade at a reasonable price. He added that, if necessary, the U.S. Navy would escort tankers through the Strait.

While that will help lower the insurance costs to allow oil tankers to pass through the Strait, the shipping industry sees this as only a partial solution to the historic crisis.

“One other factor is that several Middle Eastern refineries have been attacked, and that’s over 1 million barrels per day almost offline due to those attacks. So, additional Middle Eastern refineries could be at risk, and that’s another bullish factor there,” Hodes says.

Diesel Prices Rise More Than Other Energy Products

He adds diesel has risen disproportionately more than other energy products. This is partly due to tighter global inventories.

“But the biggest one is that there’s more diesel products flowing through the Strait of Hormuz than gasoline or some of the lighter counterparts,” Hodes says.

And Asian refineries, particularly in Japan and China, have also announced they could reduce run rates at their refineries if the disruption lasts.

The Price Hike Comes at Crunch Time for Farmers

The higher prices come as diesel demand ramps up for planting.

“It is a tough time to lock in fuel costs specifically, you know, in the start of March now. So, it’s not a great time to be a consumer of fuel,” Hodes says.

Unfortunately, few farmers locked in diesel prices when they hit lows in December and early January. This was just before the polar vortex rallied prices.

It is another expense they can’t afford when farmers are moving into the 2026 growing season already facing slim-to-negative profit margins.

Conflict in Iran Ripples Through Global Fertilizer Markets, Raises Prices Even Higher

Tue, 03 Mar 2026 16:28:13 GMT

Update: President Trump took to social media on Tuesday to say he has ordered the United States Development Finance Corporation (DFC) to provide political risk insurance and guarantees for the Financial Security of all Maritime Trade.

He also says the United States Navy will begin escorting tankers through the Strait of Hormuz if necessary.

"Effective IMMEDIATELY, I have ordered the United States Development Finance Corporation (DFC) to provide, at a very reasonable price, political risk insurance and guarantees for the Financial Security of ALL Maritime Trade... If necessary, the United States Navy will begin… pic.twitter.com/pIJyFwL78j
— The White House (@WhiteHouse) March 3, 2026

The joint U.S. and Israeli attack on Iran has triggered a significant ripple effect across global markets.

While crude oil prices soared on Monday, the global fertilizer market is also rallying. This comes as conflict threatens the stability of the Strait of Hormuz.

This narrow waterway is located between Oman and Iran and links the Persian Gulf with the Gulf of Oman and the Arabian Sea. It serves as a critical maritime chokepoint for global energy and also handles a substantial portion of the world’s fertilizer supply.

Key for Fertilizer Supplies

Josh Linville, vice president of fertilizer for StoneX, notes the Strait of Hormuz accounts for nearly 25% of globally traded nitrogen fertilizer.

(StoneX)

“We have got three of the top 10 global urea exporters that sit in the Persian Gulf,” Linville says. “Three of the top 10 anhydrous exporters sit in the Persian Gulf. One of the world’s top five phosphate exporters sits in the Persian Gulf. And with that Strait of Hormuz continuing to stay shut out to safe passage, those tons just don’t matter anymore. They don’t exist until the Strait reopens.”

Conflict Increases Already Historically High Fertilizer Prices

Global fertilizer prices rose immediately following the attack. They moved in tandem with higher energy and natural gas prices, which are the primary feedstocks for nitrogen products.

Fertilizer prices were already at historical highs prior to the conflict. Linville reports urea markets saw the sharpest increases, followed by phosphate.

In New Orleans (NOLA), physical barges for April urea traded at $457 per ton on Friday. By Monday, prices had jumped to approximately $550 per ton.

“We have had prices up about $70 a ton from Friday afternoon trade. It’s been significant,” Linville says.

UAN and anhydrous prices have not reacted as violently, but phosphate values are not far behind.

“Phosphate, we’ve got that price up about $30 a ton from the last trade we had seen. Again, [I’m] a little surprised it’s not up more. That’s, I guess, a thankful thing that’s not up more, but I think more increases are coming. Really, the only major fertilizer that hasn’t been impacted so far is potash. But you can even make a case for that given Israel and Jordan’s importance,” he adds.

Corn-to-Fertilizer Ratio Stretches Further

He says the corn-to-fertilizer price ration was already one of the worst in history, and this has added insult to injury.

“We were already the second or third worst urea-to-corn ratio that we had been for this time of the year, this part of the calendar. This just moves that higher,” Linville explains.

(StoneX )

Timing Threats for Spring Planting

Higher prices aren’t the only problem: Supply is in jeopardy. Linville says, from a timing standpoint, it could not be worse for agriculture.

A multi-week conflict could keep some supply from getting to the U.S. in time for spring planting.

“It takes 30 days to get a vessel of urea to load in the Persian Gulf, sail it over here, hit U.S. shores, and then another three to four weeks to move that product into the interior of the nation to a point where the farmer can put their hands on it,” Linville says.

This means a vessel loading today might not be available until May 1. The window for spring application is closing quickly.

While healthy fertilizer import volumes in February provide some cushion, the industry could see a shift in acreage. Some farmers may move from corn to soybeans if nitrogen supplies do not arrive in the Corn Belt in time.

Senate Votes to Limit Foreign Land Ownership

Wed, 26 Jul 2023 20:24:53 GMT

Roughly 37.6 million acres of U.S. ag land is foreign owned, according to USDA. The majority of these deeds are held by Canada, Netherlands, Italy, United Kingdom, Germany and China. However, select purchases of U.S. land could come to an end following a Senate vote this week.

The U.S. Senate on Tuesday voted 91-7 in favor of an amendment to the National Defense Authorization Act of 2024 that, if made law, would prohibit China, Russia, North Korea and Iran from purchasing U.S. land.

Also included in the amendment is a requirement for the president to submit a report to Congress on any waiver granted to a prohibited country.

Sen. Mike Rounds (R-S.D.), who helped push the legislative changes, says the time for foreign landownership action is now.

“These four adversaries view America as their top competitor and only wish to gain advantage and opportunities to surveil our nation’s capabilities and resources,” says Rounds. “This commonsense provision will make our homeland more secure.”

The amendments will now make their way to the House floor. If the House majority votes in favor of the provisions, they will become law.