Recently we hit the 16-month mark in the Trump administration, which is working around the clock to deliver real results for Americans. Just to name a few, we have secured over two dozen new trade deals, reformed the Adverse Effect Wage Rate to lower labor costs by up to $2 billion annually, and led efforts to drive down the cost of key inputs, including fertilizer. Last week in , alongside Administrator Kelly Loeffler of the U.S. Small Business Administration and Representative Juan Ciscomani, I announced our plan to restore American dominance for a vital commodity hit hard in recent decades â cotton.
Jon Posts cotton farm in Marana, Arizona was the perfect place to draw attention to the enduring value of this healthy natural fiber, which is woven into our nations history. For millennia, cotton has been a staple in everyday clothing, fine garments, and dyed tapestries around the globe. In 1607, settlers planted it in their first garden, and latter colonists proudly wore cotton as a reminder of American independence.
In Arizona â the third highest producer of high-quality Pima cotton in the U.S. â growers planted over 102,000 acres of cotton last year, which produced over 280,000 cotton bales. Nationwide, the cotton sector annually contributes $21 billion and more than 125,000 jobs to the U.S. economy.
Instead of protecting this valuable sector of our agricultural economy, the previous administration turned a blind eye as cotton growers were squeezed by foreign competitors using unfair trade practices. And in 2023, overtook the United States as the worlds top cotton exporter.
Thankfully, President Trump and his entire administration are working to reverse course and reassert Americas global cotton dominance.
Visiting the state gave us the opportunity to announce the U.S. Department of Agricultures (USDA) Great American Cotton Plan, which consists of four key pillars.
First, we are promoting domestic cotton consumption.
In partnership with other federal agencies, we are starting a Plant Not Plastic initiative that will educate consumers on the benefits of natural fibers. This is part of the Trump administrations broader agenda, which applies common-sense, science-based solutions to a national health crisis that has been ignored for decades. Last September, the White Houses MAHA Commission called for multi-agency research into the potential human health risks of exposure to microplastics and synthetics, including in textiles. As the investigation continues, we are elevating cotton as a healthy, breathable, biodegradable alternative.
Second, we are providing affordable cotton by increasing domestic production.
The Working Families Act passed by Republicans in Congress and signed by President Trump enabled us to reauthorize the Pima Agriculture Cotton Trust Fund through 2031, and we are providing domestic manufacturers and associations with $16 million in annual support. We are also increasing the payment rate in the Economic Adjustment Assistance for Textile Mills (EAATM) program, helping American cotton mills upgrade their facilities.
Third, we are improving cotton trade by opening up new global markets for American cotton and revitalizing export finance opportunities.
For instance, Indonesia recently agreed to import at least 163,000 metric tons of U.S. cotton annually for 5 years, and then maintain a minimum level of imports of at least 150,000 metric tons. And through the COTTON USA Licensing Program, USDAs Market Access Program is leveraging over $13 million in fiscal year 2026 to drive global demand.
Our friends on have a critical role to play here, especially by passing the Buying American Cotton Act, a bipartisan bill that incentivizes retailers to sell more products made of U.S. cotton. This bill, when it arrives on President Trumps desk, will make cotton more affordable for everyday Americans.
Fourth, we are protecting cotton grower
