US Review Could Determine Future of Duties on Moroccan Phosphate Fertilisers

The future of US trade restrictions on Moroccan phosphate fertilisers will come under renewed scrutiny in 2027, as American authorities weigh the interests of domestic producers against the agricultural sector’s demand for affordable fertiliser supplies.

The US International Trade Commission (USITC) has scheduled a public hearing for 1 April 2027 as part of a five-year review of countervailing duties imposed on phosphate products from Morocco and Russia in 2021. The proceedings will help determine whether removing the measures would expose American manufacturers to renewed material injury.

The outcome carries significant implications for Morocco’s phosphate industry, particularly OCP Group, one of the world’s leading producers and exporters of phosphate-based fertilisers, as well as US farmers who rely on these products to maintain agricultural productivity.

A Two-Track Investigation Into Subsidies and Market Impact

The review, initiated on 2 March 2026, addresses two separate questions. The US Department of Commerce is assessing whether subsidies benefiting foreign producers would likely continue or return if the duties were lifted. The USITC, meanwhile, must establish whether ending the restrictions would probably harm the American industry.

In preliminary findings published on 24 July, the Department of Commerce identified a potential subsidy rate of 20.04% for OCP Group if the existing measures were removed.

That figure is part of the ongoing assessment and does not represent a newly imposed duty. The original measures, introduced in April 2021, included a 19.97% countervailing duty on OCP products.

Both conditions must be satisfied for the measures to remain in place under the review process: the likelihood of continued or renewed subsidisation and the prospect of material injury to the US industry.

Mosaic Leads Push to Maintain Trade Protection

The dispute originated in June 2020, when American fertiliser producer Mosaic petitioned US authorities to investigate phosphate imports from Morocco and Russia. The company argued that foreign suppliers benefited from government support that placed domestic manufacturers at a competitive disadvantage.

The allegations included preferential access to mining rights, tax exemptions and government-backed equity.

Mosaic and J.R. Simplot, another American fertiliser producer, are participating in the current proceedings. Both confirmed their involvement on 17 March 2026 and submitted arguments on 1 April.

The Moroccan government and OCP also filed their submissions within the required deadlines and responded to the US producers’ arguments on 6 April. The Department of Commerce subsequently decided to conduct a full review, taking account of the positions presented by the parties rather than relying exclusively on previously available information.

The original duties varied across the countries concerned. OCP faced a rate of 19.97%, while Russian producers were assigned rates ranging from 9.19% to 47.05%, depending on the company.

Trump Administration Introduces Temporary Relief

While the long-term status of the duties remains uncertain, the administration of President Donald Trump has introduced a separate measure aimed at easing fertiliser supply constraints for American farmers.

On 29 June 2026, Trump issued an emergency proclamation temporarily suspending certain duties on eligible phosphate fertiliser shipments from Morocco. The White House said the measure was intended to secure adequate and timely supplies during planting and growing seasons.

The exemption can apply to qualifying shipments for up to eight months from the proclamation date, unless the emergency ends earlier. However, it does not automatically exempt every Moroccan shipment from the existing restrictions.

Rules issued by the Department of Commerce on 8 July require exporters or importers to seek written authorisation for specific consignments. Once approval is granted, eligible goods can enter the US without payment of the duties covered by that authorisation.

Importers generally have 60 days from notification of approval to bring the authorised products into the country. Missing that deadline may result in the applicable duties being charged.

The temporary relief and the five-year review therefore serve distinct purposes. One addresses immediate agricultural supply needs, while the other determines whether the trade restrictions introduced in 2021 should continue.

Moroccan Exports Shift as US Buyers Face Higher Costs

The restrictions have significantly affected trade between Morocco and the US. According to the figures provided in the background material, Moroccan phosphate fertiliser imports into the American market declined by more than 80% between 2021 and 2025.

OCP redirected more of its exports towards markets including Brazil, India and countries across Africa, while American buyers faced higher costs for monoammonium phosphate (MAP) and diammonium phosphate (DAP), two widely used fertilisers.

The wider market pressures were particularly acute during the 2021–2022 farming seasons, when prices for these products reached record highs, according to the supplied information.

Agricultural organisations, including the American Soybean Association, the National Corn Growers Association and the National Fertilizer Solutions Association, have urged the White House and Congress to provide relief. They argue that elevated fertiliser expenses have placed additional pressure on farmers’ profit margins.

The dispute consequently pits two important economic interests against one another: domestic manufacturers seeking protection from foreign competition and agricultural producers seeking competitively priced inputs.

OCP’s Global Position at Stake

The case has broader implications for Morocco’s phosphate industry because of the country’s importance in global fertiliser supply chains.

Morocco holds approximately 70% of the world’s known phosphate rock reserves. OCP operates major industrial and processing facilities in Khouribga and Jorf Lasfar, with annual fertiliser production capacity exceeding 12 million metric tonnes.

Its product portfolio includes phosphate rock, phosphoric acid and finished fertilisers such as MAP and DAP. The group serves markets across North America, South America, Asia and sub-Saharan Africa.

Before the US duties were introduced, OCP accounted for more than half of American phosphate fertiliser imports, according to the background material provided.

Mosaic, headquartered in Tampa, Florida, remains a major American producer of phosphate and potash fertilisers, with operations in Florida and Louisiana. J.R. Simplot, a privately held agribusiness, manufactures phosphate fertilisers at facilities in Idaho and Wyoming.

The final outcome could influence the competitive position of these companies while shaping the options available to US agricultural buyers.

Key Dates Ahead of the USITC Decision

The USITC has outlined a timetable for the next phase of the proceedings. A prehearing report is expected on 15 March 2027, followed by initial briefs from the parties by 24 March.

The public hearing is scheduled for 9:30 a.m. local time in Washington, D.C., on 1 April. Posthearing submissions are due by 8 April, with final comments expected by 29 April.

The commission may extend the review by up to 90 days if the complexity of the case requires additional time.

Until the review concludes, the temporary exemption provides a limited mechanism for eligible Moroccan fertiliser shipments to reach American buyers. It does not, however, settle the underlying trade dispute.

The eventual decision will determine whether the duties introduced in 2021 remain justified under US trade law, with consequences for OCP’s access to a major export market, competition in the American fertiliser industry and the cost of agricultural inputs for US farmers.