President Donald Trump walked back potential tariffs on fertilizers, exempting chemicals and minerals from Mexico and Canada used in the material on Friday.

Canada supplies 85% of potash in the U.S., an essential mineral used to create fertilizer, according to The Fertilizer Institute. The proposed 25% tariff would have increased prices for farmers ahead of the spring planting season, the institute reported.

They said Trump’s executive order ensures a stable and affordable supply of fertilizer, helping keep food prices in check. The decision comes as Trump delayed tariffs on Mexican and Canadian goods until April 1.

Many fertilizer materials fall under exemptions from Trump’s order to not place duties on materials covered by the United-States-Mexico-Canada trade agreement, according to a spokesperson at the institute.

Trump made a special carveout for potash imports not covered under the USMCA — placing a 10% duty on the mineral instead of a 25% one.

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“As the important spring planting season kicks off on farms around the country, the President’s recognition of the critical nature of fertilizers will ensure growers have access to the vital crop nutrients that make possible bountiful harvests and profitable grower operations,” said Corey Rosenbusch, president and CEO of the institute. “We look forward to continuing our work with the Administration to make the U.S. fertilizer industry and American agriculture the most productive in the world.”

Tariffs Put Potash into Uncertainty

Input prices for phosphorus fertilizers began rising in February ahead of the planting season, according to the Agricultural Market Information System’s March 2025 report.

Limited phosphate availability contributing to the slightly higher prices compared to last year. But the threat of import tariffs on Canadian potash had farmers and manufacturers uncertain of prices despite stable affordability, AMIS reported.

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Nitrogen, another Canadian export, has increased in price compared to last year.

The uncertainty comes as natural gas and ammonia prices — key inputs for fertilizers — have spiked compared to last year, with ammonia trading for $532 a ton in February compared to $462 a ton last year.

Natural gas prices more than doubled in a year’s time, going from $1.77 a MMBtu to $3.78 in February.