President Donald Trump issued an emergency proclamation lifting duties on phosphate fertilizers imported from Morocco. The order will remain in effect for eight months unless the emergency order is terminated sooner.
“As we have worked to implement America First fertilizer actions—from waiving the Jones Act to implementing more flexible Hours of Service waivers—we have focused on finding short-term solutions while delivering long-term stability for our nation’s farmers,” Agriculture Secretary Brooke Rollins said in a June 29 USDA press release. “Today’s announcement will bring immediate relief to producers who rely on these critical inputs with an estimated 22% reduction in phosphate fertilizer prices, and $1.82 billion in annual savings for producers.”
Fertilizer prices have increased significantly since the 2020 COVID-19 pandemic. The U.S.-led war in Iran caused fertilizer prices to spike further due to concerns over global availability. While prices have stabilized somewhat since the early days of the war, much uncertainty remains as the U.S. and Iran continue to negotiate an end to the conflict. Approximately one-third of the global fertilizer supply goes through the Strait of Hormuz.
In his proclamation, the president said current U.S. phosphate fertilizer production is insufficient to support domestic agricultural food production after accounting for exports. Trump added that the federal government continues to work with the private sector to expand domestic fertilizer manufacturing capacity. However, those efforts will take time.
“Immediate action is necessary and appropriate to ensure in the interim that United States farmers have access to a sufficient and timely supply of phosphate fertilizers during the planting and growing season, to ensure a stable domestic crop supply, and to meet our food production needs,” Trump added.
How have countervailing duties impacted farmers?
Morocco supplies more than 30% of the global fertilizer supply. That nation is also home to approximately 70% of the world’s phosphate reserves. However, high countervailing duties have prevented much of that supply from reaching the U.S., significantly increasing costs for American farmers.
In 2020, fertilizer giant Mosaic filed a case calling for countervailing duties against fertilizer from Morocco and Russia. The company alleged the two nations unfairly subsidized fertilizer. As a result, the U.S. imposed duties from 16% to 47% on fertilizer imports from Morocco and Russia the following year.
According to a 2025 Texas A&M Agriculture and Food Policy Center report, countervailing duties on Moroccan imports alone cost U.S. farmers an estimated $6.9 billion between the 2021 and 2025 growing seasons. The duties are set to expire next year unless federal officials vote to extend them.
Eliminating countervailing duties on Moroccan fertilizer has long been a priority for multiple agriculture groups, including the American Soybean Association. In a June 29 press release, ASA President Scott Metzger noted that fertilizer is one of the most significant expenses soybean farmers face each year.
"Suspending import taxes on this critical farm resource will improve fertilizer availability and help reduce input costs at a time when farmers begin to plan for the 2027 crop while tackling increasingly challenging financial decisions,” Metzger said. “U.S. soybean farmers thank President Trump and his administration for recognizing the challenges facing America's farmers, identifying targeted solutions to defray farm production costs, and taking meaningful action that will strengthen the agricultural economy.”
National Association of Wheat Growers President Jamie Kress concurred with those sentiments, noting that fertilizer remains wheat farmers’ most significant production expense. In a June 29 public statement, she said suspending Moroccan countervailing duties will help “keep American farmers economically viable and competitive in the global marketplace.”
In an American Farm Bureau Federation poll conducted earlier this year, seven out of ten farmers indicated they would not be able to afford enough fertilizer this year. Removing duties on fertilizer imports is one of several policies the bureau recommended to reduce farmer input costs.
“The decision to suspend tariffs on critical supplies, along with the recent request for emergency economic aid for farmers, are common-sense steps that will bring relief to farmers at a time when they need it most,” AFBF President Zippy Duvall said in a June 29 statement.