The United States is reviewing the possibility of removing countervailing duties on Moroccan phosphate fertilizer imports, as global supply disruptions linked to the war involving Iran reshape agricultural markets and raise concerns over input costs and food security.
The review is being conducted by the Department of Commerce’s International Trade Administration alongside the US International Trade Commission, as part of a mandatory five-year “sunset review” process assessing whether the duties remain necessary to protect domestic producers.
Calls to lift the tariffs have intensified during this review, with major agricultural stakeholders and some industry players arguing that the measures are no longer justified and are instead placing additional pressure on American farmers.
Among the most notable voices is Nutrien, one of the largest fertilizer producers in the United States, which has shifted its position to support removing the duties, citing changes in global phosphate supply and demand dynamics since 2021.
The company argues that eliminating the tariffs would help improve affordability for farmers and support overall agricultural productivity at a time of mounting economic strain.
Several leading agricultural organizations, including groups representing corn, soybean, wheat, and rice producers, have also urged US authorities to revoke the duties, stressing that domestic phosphate resources are insufficient to meet national demand.
These groups contend that the tariffs have restricted supply options, increased fertilizer prices, and negatively impacted planting decisions, long-term viability, and farm incomes.
However, the push to remove the duties faces strong opposition from within the domestic fertilizer industry, particularly from Mosaic and Simplot, which have called for maintaining the measures.
The two companies argue that the duties were imposed following findings of unfair subsidization and remain necessary to shield US producers from what they describe as injurious foreign competition.
This divide highlights a broader tension between industrial producers seeking protection and farmers demanding lower input costs in an increasingly volatile economic environment.
Recent studies have underscored the financial burden of the duties, estimating that they have added billions of dollars to fertilizer costs for US farmers since their introduction in 2021.
One such study found that phosphorus fertilizer costs increased by approximately $6.9 billion between the 2021 and 2025 growing seasons, with corn producers bearing a significant share of the impact.
Experts note that farmers are particularly sensitive to rising input costs, especially as the gap between production expenses and crop prices has widened to its highest level in decades.
Against this backdrop, there is growing pressure on policymakers to adopt more flexible trade measures that ensure stable and affordable access to key agricultural inputs.
The debate is further shaped by geopolitical tensions in the Middle East, where the war involving Iran has disrupted shipping routes, particularly through the Strait of Hormuz, a critical corridor for global fertilizer and energy supplies.
These disruptions have contributed to price volatility and supply uncertainty, prompting US authorities to reconsider existing trade barriers, including duties on Moroccan fertilizer imports, as part of broader efforts to safeguard agricultural stability.
