US fertilizer industry association The Fertilizer Institute (TFI) today told its members that there is no end date for modified tariffs on Canadian and Mexican fertilizers.
The exclusions and modified tariff rates will be in effect indefinitely unless President Donald Trump decides otherwise, since no expiration date was outlined in the executive order, TFI said in an alert to is members.
TFI referenced speculation throughout the fertilizer industry regarding the executive order being set to expire at the beginning of April, but specified that there has not been authorized verification from the Trump administration about the end date. The industry group advised to beware of the lack of timeline, and remain conscious of the possibility of no "guarantees" in a tariff change in the near future.
Canadian and Mexican imports of fertilizer and other products deemed compliant with the United States-Mexico-Canada Agreement (USMCA) were excluded from the 25pc tariff implemented on 4 March under an executive order from the Trump administration. In comparison, potash deemed to lack USMCA preference status will face a reduced 10pc tariff, likely driven by the significant amount of Canadian potash imported into the US annually.
Market sentiment has mirrored the uncertainty of the tariffs, with potash prices rising progressively over the past two months.
