American Farm and Right to Repair Bill

At a Glance

  • Requires manufacturers to provide repair manuals, parts, and tools for all products
  • Revises farm equipment emissions standards to reduce costs and improve reliability
  • Directs USDA to cut food production costs by 15% over four years
  • Provides 15% fuel tax credit for farm operations under $5M gross income
  • Launches antitrust enforcement against seed, chemical, and fertilizer monopolies
  • Caps any meatpacker at 25% of national beef or pork slaughter, with forced divestiture above the cap
  • Authorizes intrastate custom-slaughter sales (PRIME Act) and funds independently owned regional processors
American Farm and Right to Repair Bill

The American family farm has been in steady decline for decades, squeezed between rising production costs, competition from large-scale corporate operations, and pressure from international producers. While consumers benefit from an abundant food supply, small and medium-sized farms increasingly struggle to remain viable. Since 2020, fertilizer costs have risen approximately 35%, fuel and energy costs are up over 30%, and labor and equipment costs have climbed significantly[1]. These pressures fall disproportionately on family operations that lack the scale and purchasing power of corporate farms.

Farmers have long prided themselves on self-reliance, yet that principle has been undermined by manufacturers who restrict access to repair manuals, diagnostic tools, and replacement parts—forcing farmers to rely on authorized dealers for repairs that could be done on-site at lower cost. Equipment breakdowns during planting or harvest can mean the difference between profit and loss, and dealer wait times compound the financial damage. Meanwhile, well-intentioned emissions requirements have added tens of thousands of dollars to equipment costs and introduced complex systems that increase maintenance burdens and reduce reliability in the field.

This legislation takes a three-pronged approach to reducing production costs for family farms. First, Right to Repair protections will be extended to all products manufactured or imported into the United States within 12 months of passage. Manufacturers must provide consumers with full repair manuals, and make available for purchase all parts and tools required to repair their products. Second, federal emissions requirements for farm and heavy equipment will be revised by updating Tier standards to better balance manufacturing costs, reliability, and environmental goals. A public-private partnership led by the EPA will be established to develop long-term emissions solutions for heavy machinery that meet these balanced principles. Third, the USDA will be directed to develop a four-year plan to further reduce food production costs through investment in agricultural innovation, fuel tax credits for farm operations, and enforcement actions addressing market consolidation in the seed and chemical industries.

Family livestock operations face a separate chokehold on the output side. Four firms—Tyson, Cargill, JBS, and National Beef—process roughly 85 percent of U.S. beef, and four firms process roughly 60 percent of U.S. pork[2]. Independent ranchers cannot get fair prices when only a handful of buyers exist, and small processors cannot survive when nearly all federally inspected slaughter capacity sits inside the Big Four. The 1921 Packers and Stockyards Act was written to prevent this exact concentration; it has not been seriously enforced in decades. This bill caps any single packer at 25 percent of national beef or pork slaughter, requires divestiture above the cap, sets a 50 percent minimum for cattle purchased on the open cash market, authorizes intrastate custom-slaughter sales (incorporating the bipartisan PRIME Act), restores mandatory country-of-origin labeling for beef and pork, and funds a new generation of independently owned regional processors so small producers have somewhere to sell.

Problems the Bill Aims to Solve

Decline of the Family Farm. Small and medium-sized farms face mounting economic pressure from rising input costs they cannot control and competition from large corporate operations with greater economies of scale. Without intervention, consolidation will continue to reduce the number of independent farm operators.

Escalating Equipment and Machinery Costs. The cost of tractors, combines, and other farm machinery has risen sharply since 2020[1]. Tier 4 emissions systems add tens of thousands of dollars to new equipment prices, pushing many family operations toward older, less efficient machinery or unsustainable debt.

Manufacturer Restrictions on Repair. Equipment manufacturers limit access to repair manuals, diagnostic software, and parts, forcing farmers to use authorized dealers for repairs. Dealer wait times during critical planting and harvest windows can result in significant crop and revenue losses. Farmers who once maintained their own equipment now face dependency on third parties.

Emissions System Complexity and Reliability Concerns. Modern emissions systems, including Diesel Exhaust Fluid (DEF) requirements, add maintenance complexity and can disable equipment in the field when malfunctions occur. Farmers report reduced power output and lower fuel efficiency from some emissions systems, and older pre-emissions equipment commands premium prices on the secondary market.

Rising Fertilizer and Chemical Costs. Fertilizer represents the largest share of basic input costs for crop farmers, averaging 33% of seed, fertilizer, pesticide, and fuel expenses[3]. Prices increased approximately 35% between 2020 and 2024[1], and market consolidation among suppliers limits competitive pricing.

Fuel and Energy Cost Increases. Fuel and oil expenses have risen approximately 30% since 2020[1]. Diesel price volatility directly impacts planting, harvesting, irrigation, and transportation costs across all farm operations.

Market Consolidation in Agricultural Inputs. A small number of companies dominate the seed, fertilizer, and crop protection markets, reducing competition and contributing to elevated prices. Federal agencies have begun examining whether anti-competitive practices are driving costs higher than market conditions would otherwise justify.

Meatpacker Concentration Crushes Independent Ranchers. Four firms control approximately 85 percent of beef slaughter and 60 percent of pork slaughter in the United States[2]. Ranchers selling cattle face a market with only a handful of buyers, and the share of cattle sold on the open negotiated cash market has collapsed in many regions, eliminating meaningful price discovery[4]. The result is that the spread between what consumers pay at the grocery store and what ranchers receive for live cattle has reached historic highs, with the value flowing to packers in the middle rather than to producers or consumers.

Loss of Regional Processing Capacity Locks Out Small Producers. Federal inspection requirements are essential to food safety, but the closure of small and mid-sized USDA-inspected processors has left wide areas of the country with no nearby slaughter option. Independent farms are forced to ship animals hundreds of miles to facilities owned by or aligned with the Big Four, paying premium rates for limited slots that often book months in advance. Without regional capacity, the structural advantage of local agriculture cannot be realized, and the PRIME Act provisions of this bill will fail to deliver if there is nowhere local to process meat lawfully.

Lack of Coordinated Federal Strategy. Multiple agencies touch agricultural costs—USDA, EPA, DOJ, DOL—but no unified plan exists to systematically reduce production costs while maintaining environmental and safety standards. Farmers face regulations from multiple directions without a coherent framework balancing affordability and policy goals.

American Farm and Right to Repair Act

120th Congress, 2nd Session

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

Sec. 1. SHORT TITLE.

This Act may be cited as the "American Farm and Right to Repair Act."

Sec. 2. FINDINGS.

Congress finds that food production costs have risen sharply, driven by a 35 percent increase in fertilizer costs, a 30 percent increase in fuel costs, and significant increases in equipment costs since 2020; that manufacturer restrictions on repair access force farmers to pay inflated maintenance prices; that overly burdensome emissions standards on farm equipment have increased costs without proportionate environmental benefit; that consolidation in the seed, chemical, and equipment industries has reduced competition; and that four firms now process approximately 85 percent of all beef and 60 percent of all pork slaughtered in the United States, depriving independent ranchers of competitive markets and small processors of viable scale.

Sec. 3. UNIVERSAL RIGHT TO REPAIR.

  1. (1) Not later than 12 months after enactment, each manufacturer shall make available to product owners and independent repair providers, on fair and reasonable terms—
    1. (a) service and repair manuals, including technical documentation and wiring diagrams;
    2. (b) replacement parts, at a price not exceeding the manufacturer's suggested retail price for authorized providers;
    3. (c) diagnostic tools and software necessary to identify and repair malfunctions; and
    4. (d) firmware updates and patches at no additional charge.
  2. (2) PROHIBITION ON SOFTWARE LOCKS.—No manufacturer shall—
    1. (a) implement software locks preventing diagnosis, maintenance, or repair;
    2. (b) void or limit a warranty solely because the owner or independent provider performed a repair using non-manufacturer parts, unless the repair directly caused the damage; or
    3. (c) require proprietary authorization codes not available to product owners.
  3. (3) SAFETY EXCEPTION.—This section shall not require disclosure of repair materials that would compromise emissions control systems, vehicle safety systems, or medical device safety features, but this exception shall not exempt an entire product when only a specific component is affected.

Sec. 4. PENALTIES FOR REPAIR RESTRICTIONS.

  1. (1) A manufacturer that violates Section 3 shall be subject to civil penalties of up to $10,000 per product model per day for failure to provide repair materials, up to $50,000 per product model for software lock violations, and up to $100,000 for a pattern or practice.
  2. (2) The Federal Trade Commission shall enforce this section. State attorneys general may also bring civil actions.

Sec. 5. FARM EQUIPMENT EMISSIONS STANDARDS REVISION.

  1. (1) Not later than 18 months after enactment, the EPA Administrator shall complete a review and issue revised emissions standards for non-road diesel engines in agricultural equipment, balancing cost impact, reliability, environmental benefit, and alternative compliance pathways.
  2. (2) PUBLIC-PRIVATE PARTNERSHIP.—The Administrator, with the Secretaries of Agriculture and Energy, shall establish a public-private partnership to develop long-term emissions reduction solutions for heavy agricultural equipment.
  3. (3) There are authorized to be appropriated $200,000,000 for fiscal years 2026 through 2030 for research and development.

Sec. 6. USDA FOUR-YEAR COST REDUCTION PLAN.

  1. (1) Not later than one year after enactment, the Secretary of Agriculture shall publish a comprehensive 4-year plan to reduce food production costs by not less than 15 percent, addressing fertilizer costs, fuel costs, equipment costs, and seed and input costs.
  2. (2) The Secretary shall submit annual progress reports to Congress with measurable cost reduction data.
  3. (3) There are authorized to be appropriated $500,000,000 for fiscal years 2026 through 2030.

Sec. 7. FUEL TAX CREDITS FOR FARM OPERATIONS.

  1. (1) A refundable tax credit equal to 15 percent of qualified fuel expenses used directly in farming operations shall be available to taxpayers with gross farm income under $5,000,000.
  2. (2) The credit shall be available for five years after enactment.

Sec. 8. ANTITRUST ENFORCEMENT IN AGRICULTURAL MARKETS.

  1. (1) The Attorney General shall conduct a comprehensive review of market concentration in the seed, chemical, fertilizer, and farm equipment industries within one year and bring enforcement actions where anti-competitive consolidation has unreasonably raised prices.
  2. (2) For five years after enactment, any proposed merger in these industries involving parties with combined revenues exceeding $1,000,000,000 shall be subject to enhanced antitrust review with a mandatory 180-day review period.

Sec. 9. MEATPACKER MARKET STRUCTURE AND COMPETITION.

  1. (1) MARKET SHARE CAP.—No single entity, including any subsidiary, parent, or affiliated entity, may process more than 25 percent of the federally inspected beef or pork slaughtered annually in the United States. The Secretary of Agriculture, in consultation with the Attorney General, shall determine market share annually based on slaughter weight reported under the Packers and Stockyards Act of 1921.
  2. (2) DIVESTITURE.—Any entity exceeding the cap under paragraph (1) shall divest sufficient processing capacity to come into compliance within 36 months of a determination of noncompliance. Divested facilities may not be sold to any other entity already at or above 15 percent national market share.
  3. (3) CASH MARKET MINIMUM.—Each covered packer shall purchase not less than 50 percent of its weekly slaughter cattle from the negotiated cash spot market. For purposes of this paragraph, captive supply (including packer-owned animals and forward contracts priced off futures or formula pricing tied to packer-controlled inputs) shall not count toward the cash market requirement.
  4. (4) INTRASTATE CUSTOM SLAUGHTER.—The Federal Meat Inspection Act is amended to permit the intrastate sale of custom-slaughtered meat, processed at a facility licensed and inspected by the State of slaughter, to consumers, restaurants, hotels, boarding houses, and grocery stores located in the same State. This paragraph adopts the provisions of the Processing Revival and Intrastate Meat Exemption (PRIME) Act.
  5. (5) REGIONAL PROCESSING CAPACITY GRANT PROGRAM.—There are authorized to be appropriated $1,500,000,000 over five fiscal years for grants and low-interest loans to establish or expand independently owned USDA-inspected slaughter and processing facilities with annual capacity below 50,000 head. No grant or loan under this paragraph may be made to an entity affiliated with a packer holding more than 5 percent national market share.
  6. (6) MANDATORY COUNTRY OF ORIGIN LABELING.—Section 282 of the Agricultural Marketing Act of 1946 is amended to require country-of-origin labeling for beef and pork sold at retail, repealing the 2015 carve-out enacted following the World Trade Organization decision in Dispute DS384/DS386. Meat from animals born, raised, and slaughtered in the United States may be labeled "Product of USA"; all other retail beef and pork shall be labeled with each country in which the animal lived.
  7. (7) PACKERS AND STOCKYARDS ACT ENFORCEMENT.—The Secretary of Agriculture is authorized to bring enforcement actions for unfair or deceptive practices under the Packers and Stockyards Act of 1921 without proof of competitive injury to the broader market. A private right of action is established for producers who suffer documented economic harm from prohibited practices, with treble damages and attorney's fees available to prevailing producer plaintiffs.

Sec. 10. AGRICULTURAL INNOVATION GRANTS.

  1. (1) The Secretary of Agriculture shall award competitive grants for precision agriculture technologies, drought-resistant crop research, alternative fertilizer production, and renewable energy systems for farms.
  2. (2) Priority shall be given to family farm operations, land-grant universities, and cooperative extension programs.
  3. (3) There are authorized to be appropriated $300,000,000 for fiscal years 2026 through 2030.

Sec. 11. EFFECTIVE DATE.

  1. (1) This Act shall take effect on the date of enactment.
  2. (2) The right to repair provisions shall take full effect 12 months after enactment.
  3. (3) The market share cap and cash market minimum under Section 9 shall take effect 24 months after enactment, with the Secretary of Agriculture publishing initial market share determinations not later than 18 months after enactment.

Sources

  1. USDA Economic Research Service, Farm Income and Wealth Statistics — Production Expenses. https://www.ers.usda.gov/data-products/farm-income-and-wealth-statistics/production-expenses
  2. Government Accountability Office, "Beef and Pork: USDA Has Strengthened Some Inspection Activities, but Needs Better Data and Analysis on Concentration in Cattle Markets." https://www.gao.gov/products/gao-18-296
  3. USDA Economic Research Service, "Fertilizer Costs Shape U.S. Corn Production Expenses." https://www.ers.usda.gov/data-products/chart-gallery/gallery/chart-detail/?chartId=100882
  4. USDA Agricultural Marketing Service, Livestock Mandatory Price Reporting program—weekly cattle purchase data by reporting category. https://www.ams.usda.gov/market-news/livestock-mandatory-reporting