Mosaic and Simplot Support Keeping Phosphate Fertilizer Tariffs

Agri-Pulse’s Oliver Ward reported that “fertilizer producers Mosaic and Simplot say they support keeping countervailing duties on Moroccan and Russian phosphate fertilizer in the five-year review now underway.”

“The tariffs on both countries’ product, which range from 16.6% to more than 47%, have been in place since 2021 after Mosaic filed a countervailing duty case. The duties are up for a five-year sunset review, in which Commerce’s International Trade Administration and the International Trade Commission assess whether they are still warranted,” Ward reported. “If the domestic industry had said it no longer needs them to prevent injury, the tariffs would have been lifted.”

Progressive Farmer’s Russ Quinn reported that “commodity organizations are actively trying to get the duties removed. Earlier this week eight national commodity groups and more than 50 state affiliates sent a letter to the International Trade Commission pressing on the commission to revoke duties against phosphate fertilizer from Morocco. ‘Allowing the CVDs to continue will further worsen the dire economic conditions faced by American farmers,’ the commodity groups wrote.”

While Mosaic and Simploy support keeping the countervailing duties in place, National Today reported that “Nutrien, one of the largest U.S. producers, says it is time to lift the tariffs.”

“Nutrien, which produces 20% of the U.S. phosphate fertilizer output through facilities in North Carolina and Florida, has been one of the main beneficiaries of the countervailing duties,” National Today reported. “However, the company now says that ‘based on evolving global phosphate supply and demand dynamics since 2021,’ removing the tariffs would be a ‘constructive step’ to support U.S. farmers and agricultural productivity.”

Fertilizer Duties Have Cost Farmers Billions, Study Shows

Progressive Farmer’s Quinn reported that “countervailing duties (CVD) on phosphorus fertilizer imports have taken billions of dollars out of the U.S. farm economy during the last four years, according to a recent Texas A&M study. This comes at a time when U.S. crop producers struggle to remain profitable.”

“Texas A&M was asked to study the effects CVDs have had on the cost of phosphorus fertilizer by Rep. Pat Fallon (R-Texas). The results of the study showed CVDs have increased the cost of phosphorus fertilizer for U.S. producers by an estimated $6.9 billion beginning in the 2021 growing season through the 2025 growing season,” Quinn reported. “Fischer said, broke down further, corn production alone accounted for $3 billion of the total $6.9 billion. That is 44% of the total CVD costs affecting U.S. corn producers, he said.”

“‘Because of the pressure facing producers, they are particularly sensitive to anything that raises costs,’ Fischer said,” according to Quinn’s reporting. “‘The CVD on phosphorus imports from Morocco comes at a time when farmers can ill afford it.'”

“Fischer said the input costs versus grain price ratio is at its widest point in the last 30 years. Producers are seeing higher costs affect their bottom lines. Most growers have ‘grown weary’ of government aid in recent years. They don’t want handouts, but they do want markets that work in the global economy, he said,” according to Quinn’s reporting. “‘A growing concern I hear a lot is the ad hoc assistance comes at the end of the year, and it just flows right into (paying for) input costs,’ Fischer said.”

Most Ag Groups Back Removing the Countervailing Duties

S&P Global’s Ale Rodriguez reported that “US agricultural groups are urging the Department of Commerce to revoke countervailing duties on imports of phosphate fertilizer as the sunset review begins.”

“‘The United States simply does not have sufficient domestic phosphate resources to meet agricultural demand on its own,’ said a joint letter signed by several groups including the National Corn Growers Association, American Soybean Association, National Association of Wheat Growers, USA Rice and US Rice Producers Association,” Rodriguez reported. “Phosphate fertilizer is an essential input for modern crop production, used predominantly for growing corn, soybeans, cotton and other agricultural commodities.”

“According to the National Corn Growers Association, for many growers, fertilizer represented 40% of operating costs in 2025, and price increases in this critical input directly affect planting decisions, long-term viability, and the livelihoods of farm families,” Rodriguez reported. “‘Maintaining the phosphate fertilizer [duties] will allow a small set of powerful corporations to continue to limit supply options for farmers,’ the letter said. ‘This has already prevented farmers from accessing the tools that meet their crop production needs and resulted in lower yields and negative economic impacts.'”