On Tuesday, the White House announced that key nitrogen and phosphate fertilizers, along with other agricultural products, are exempt from U.S. import tariffs that were introduced in April, although the status of ammonia under the revised rules remains uncertain. The modification to Executive Order 14257 came into effect for goods imported from November 13.

Fertilizers exempted from the tariffs include urea, ammonium nitrate, UAN, ammonium sulfate, TSP, DAP, and MAP. Ammonia may qualify for exemptions, but eligibility will be assessed individually by the Secretary of Commerce and the U.S. Trade Representative based on existing or ongoing trade negotiations with each supplying country. Potassium fertilizers such as MOP had already been exempt from the import tariffs.

The tariffs, which had been in place for seven months, initially ranged from 10% to 15% for most fertilizer-exporting countries, with some suppliers facing rates as high as 30%. These measures had significantly affected trade flows, prompting exporters to divert shipments away from the U.S. toward alternative markets. With the tariff exemptions now in place, fertilizer trade is expected to normalize.

U.S. fertilizer prices had surged to multi-year highs this year, driven in part by the import tariffs, which reduced availability and increased costs relative to crop prices. The elevated prices had discouraged demand for nutrients across the country. Analysts expect that lower-cost imports following the tariff exemptions could help farmers re-enter the market ahead of the 2026 spring season.

The exemption is viewed as a move to provide certainty to importers and distributors after months of policy-related uncertainty. The measure is intended to stabilize supply, improve affordability, and support the timely availability of essential fertilizers for agricultural production.

By lifting tariffs on these key inputs, the U.S. government aims to balance trade policy objectives with domestic agricultural needs. The adjustment is likely to benefit both domestic farmers and international suppliers, helping ensure sufficient fertilizer supplies while maintaining competitive pricing in the lead-up to the next planting season.

The decision underscores the importance of nitrogen and phosphate fertilizers, along with related agricultural products, in supporting crop production and food security. Market participants are now monitoring how the tariff changes will affect imports, distribution, and prices over the coming months as trade flows begin to stabilize.

Overall, the tariff modification signals a shift toward more predictable trade conditions for U.S. agriculture, potentially enhancing market confidence and mitigating the cost pressures that have affected fertilizer affordability earlier this year.