November 24 2020, TAMPA: The U.S. Department of Commerce announced today that it preliminarily found that phosphate fertilizer imports from Morocco and Russia benefit from countervailable subsidies. Commerce calculated a subsidy rate of 23.46 percent for Moroccan producer OCP.
In the Russia investigation, Commerce calculated rates of 20.94 percent and 72.5 percent for the PhosAgro and EuroChem respondent entities, respectively, and a rate of 32.92 percent for all other producers/exporters. Beginning in a matter of days, the rates from Commerce’s preliminary determinations will be used to impose preliminary cash deposits on Moroccan and Russian phosphate fertilizer imports into the United States.
“We appreciate the Commerce Department’s diligent work on our countervailing duty petitions,” said Mosaic President and CEO Joc O’Rourke. “Mosaic believes in vigorous competition and free and fair trade, and that these foreign government subsidies must be addressed in order to level the playing field in the U.S. market. Today’s ruling moves a step closer to fair trade and an assurance for U.S. farmers that they will be able to rely on U.S. fertilizer for decades to come.”
U.S. law provides remedies to American manufacturers against unfair and injurious foreign trade practices. Commerce’s investigations of Moroccan and Russian phosphate fertilizer imports will now proceed to final determinations, which are scheduled to be issued by February 8, 2021. In a parallel proceeding, the U.S. International Trade Commission is investigating whether Moroccan and Russian phosphate fertilizer imports materially injure the U.S. phosphate fertilizer industry, and its final determinations are scheduled to be issued by March 25, 2021.
