New data released this week shows a continued decline in the number of farms operating across the United States, adding to concerns about the long-term health of rural America.
During a Fox News segment, host Stewart Varney highlighted a new Agriculture Department report showing that the total number of U.S. farms fell by 15,000 in 2025, bringing the nationwide total to approximately 1.865 million. While that may still sound substantial, the broader trend has been moving in the wrong direction for years.
According to the figures discussed on air, farmland is facing mounting pressure from urban expansion, rising operational costs, and shrinking or even negative returns per acre. In many cases, small and mid-sized farmers are finding it increasingly difficult to stay profitable.
The decline was widespread. Texas experienced the largest drop, losing around 2,000 farms. Other agricultural states also saw reductions: Minnesota lost roughly 1,300 operations, Iowa and Indiana each declined by about 500, and Illinois saw 400 fewer farms. Notably, no state recorded an increase in total farm numbers.
Industry observers point out that this pattern reflects a longer-term contraction, accompanied by an uptick in farm bankruptcies. However, there was one notable exception in the data: farms generating $1 million or more in annual sales increased slightly, rising by about 50 operations. That suggests continued consolidation within the industry, with larger operations expanding even as smaller farms disappear.
Farmers have also faced significant external challenges. Severe drought conditions last year hit parts of the eastern Corn Belt particularly hard, with some areas harvesting only about 20% of crops during the peak of the crisis. Climate volatility has added another layer of financial risk for producers already operating on tight margins.
Trade policy has also played a role in reshaping agricultural markets. Since tariffs were introduced in 2017, U.S. crop producers have struggled with reduced access to key export markets, particularly China, which had been a major buyer of soybeans and corn. Reports last summer indicated that soybean exports America’s most valuable grain export fell to their lowest level in two decades.
Rural communities have long formed a strong political base for Republican leadership. Yet the ongoing strain on farmers raises broader questions about how economic policy, trade decisions, and climate impacts intersect with the future of American agriculture.
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