Bipartisan U.S. Senators Push for Investigation Into Farm Equipment Makers Moving Jobs to Mexico
A bipartisan pair of U.S. senators is calling on the federal government to investigate major agricultural machinery manufacturers over their decisions to eliminate American jobs while relocating production to Mexico — a development drawing attention from Idaho farmers and agriculture advocates who depend on the equipment those companies make.
Sens. Tammy Baldwin, a Wisconsin Democrat, and Bernie Moreno, an Ohio Republican, sent a formal request Thursday to Commerce Secretary Howard Lutnick asking him to open an investigation into John Deere, Caterpillar, and Case New Holland (CNH) under a federal law that permits tariffs to be levied on national security grounds.
The request carries direct implications for Idaho’s agricultural economy, including Latah County’s wheat, lentil, and pulse crop producers who rely heavily on equipment manufactured by these same companies to plant, maintain, and harvest their crops each season.
What the Senators Are Alleging
In their letter to Lutnick, Baldwin and Moreno painted a sharp picture of corporate decision-making that they argue puts shareholder profits above American workers and rural communities.
“These companies should not be allowed to eliminate American jobs, pay Mexican workers poverty wages, and then ship products back to the U.S. for additional profit on the backs of our communities,” the senators wrote. “They argue that offshoring is necessary to remain competitive, but when it comes time to pay executives or shareholders, they are never short of money.”
The senators cited significant financial data to back their position. John Deere has returned $8.4 billion to shareholders through dividends and stock buybacks in recent years. Caterpillar has paid out $18.2 billion. CNH has distributed $1.7 billion. Meanwhile, each of those companies has reduced its American workforce while expanding operations south of the border.
CNH laid off 220 workers from its Racine, Wisconsin, facility in 2024, shifting that production to Mexico. In January, the company announced the closure of its Burlington, Iowa, plant, which stands to eliminate roughly 200 more American jobs. John Deere, meanwhile, laid off more than 3,600 union employees after transferring production from Iowa to Mexico.
Representatives for John Deere, Caterpillar, and CNH did not return requests for comment at the time of reporting.
The Legal Mechanism Behind the Push
The senators are requesting an investigation under Section 232 of the Trade Expansion Act of 1962, a federal statute that allows the Commerce Department to investigate whether certain imports threaten U.S. national security. If the investigation finds sufficient cause, the administration can impose targeted tariffs designed to discourage the offshoring of strategically important manufacturing.
The application of Section 232 to agricultural equipment manufacturing is a notable move. The law has more commonly been applied to steel and aluminum imports, but Baldwin and Moreno argue that the domestic production capacity for farm machinery carries its own national security dimension — particularly when American food production depends on reliable access to equipment that is increasingly manufactured outside the country.
For Idaho farmers, that argument resonates. The Palouse region’s wheat and lentil operations depend on sophisticated planters, combines, and sprayers — much of it produced by the very companies named in the senators’ letter. Supply chain disruptions during recent years have already strained equipment availability and driven up repair costs across the region.
Idaho’s Agricultural Stake in the Outcome
Latah County sits at the heart of one of the most productive dryland farming regions in the United States. The rolling hills of the Palouse produce a significant share of the nation’s soft white wheat and dry peas, crops that feed domestic consumers and export markets alike. The tractors, combines, and tillage equipment manufactured by John Deere and CNH are fixtures on farms throughout the county.
Any significant disruption to equipment pricing, availability, or parts supply — whether caused by further offshoring, tariff responses, or trade instability — would have tangible consequences for farm operations in Moscow, Genesee, Deary, and across rural Latah County.
The broader question raised by the senators — whether American companies can be held accountable for hollowing out domestic manufacturing capacity while rewarding investors — is one that farming communities across Idaho are watching carefully.
For more on how Idaho’s agricultural economy intersects with federal trade policy, visit Idaho News for statewide coverage, and Idaho News Network for reporting from across the region.
What Comes Next
The Commerce Department has not yet indicated whether it will open a formal Section 232 investigation into the farm equipment manufacturers. The Baldwin-Moreno letter is a request, not a mandate, and the decision rests with Commerce Secretary Lutnick and the broader Trump administration. If an investigation is launched, it would involve a review period before any tariff recommendations could be made. Idaho’s congressional delegation has not yet issued a public statement on the request. Latah County News will continue to follow this story as it develops.