U.S. President Donald Trump quietly reduced tariffs on Canadian potash, a key ingredient in fertilizer. To protect U.S. farmers from paying higher prices, a new executive order will enter into immediate effect on Friday, March 7, 2025.

“The additional rate of duty on potash that is not subject to subsection (a) of this section shall be reduced to 10 percent in lieu of 25 percent,” reads the order.

With the United States importing more than 80% of its potash from its northern neighbour, the Trump administration rolled back punitive measures to avoid disruptions to the food supply. 

According to the federal government, Canada constitutes a third (32%) of the world’s potash, followed by Russia (19%), Belarus (15%), China (9%), and Israel (5%).

Trump signs a short-term reduction of tariffs on goods traded under the existing USMCA agreement and reduces the 25% tariff on Canadian potash to 10%.

The order runs until April 2. pic.twitter.com/60Pl49VmTg

— Rebel News (@RebelNewsOnline) March 6, 2025

Eric Anderson, executive director of the Saskatchewan Industrial and Mining Suppliers Association, told the National Post that potash is not the average commodity.

“This is the ability to grow food,” he said. “When we’re talking [about] food supply and the ability to grow food, that’s a different kind of animal.” 

Potash is an essential component of the food supply chain. It is a source of potassium, a nutrient that is vital for plant growth. Farmers use potash-based fertilizers to grow crops, which in turn become food.

“American farmers need Canadian fertilizer to grow their crops. Trump’s tariffs will drive up the cost of … potash … and that will drive up the cost of groceries for every American family,” Saskatchewan Premier Scott Moe wrote in a statement to social media.

Chrystia Freeland discusses her retaliatory tariffs and says that American farmers will complain that they need Canadian potash.
pic.twitter.com/DU6PxrAHZ9

— Rebel News (@RebelNewsOnline) February 26, 2025

Premier Moe has also repeatedly refused export tariffs on potash, and also excluded the fertilizer component in retaliatory measures to U.S. tariffs.

Ottawa continues to contemplate expanded export control powers, though it lacks the necessary mandate with Parliament prorogued. 

Ontario Premier Doug Ford also urged Saskatchewan to reconsider yesterday to no avail. Moe stressed making “calm, sensible decisions” in the best interest of his province.

“If you were to shut down production going to the U.S., and let’s use potash as an example, that would result in immediate job losses in Saskatchewan,” he told reporters yesterday.

Export levies are widely considered a last resort in trade disputes, but Canadian officials earlier said it could be used as a counter-measure straight out the gate.

“That’s not our goal,” the Premier clarified. “Our goal is to open up markets, not only in the U.S. but around the world.” He has yet to respond to the new executive order as of writing.

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