Trump strikes back at Canada with potential Belarus fertilizer deal
by Jeff Mordock · The Washington TimesPresident Trump announced Monday that the U.S. is working on a deal to buy potash, a key fertilizer ingredient, from Belarus as he looks to ramp up his trade war with Canada, the world’s largest fertilizer producer.
By purchasing potash from Belarus, Mr. Trump is seeking to undercut Canada, which accounts for roughly 80% of total U.S. potash imports worth about $5.2 billion annually.
“The United States is working on a massive deal with respect to the purchase of potash from Belarus. The pricing would be for substantially less than we are currently paying to Canada, very good news for our farmers and ranchers,” Mr. Trump wrote Truth Social.
Lower-priced imports from Belarus could put significant pressure on Canadian fertilizer companies.
Stock shares of several top fertilizer companies dropped almost immediately after Mr. Trump’s announcement. Mosaic Co. saw its stock drop by more than 5%, while Intrepid Potash saw its stock decline by 4.5% and Nutrien’s stock price dropped by 4%.
The U.S. has imposed sanctions on Belarus for decades, starting with President George W. Bush, who deemed the country’s 2006 elections undermined the Democratic process. President Biden significantly expanded those sanctions in 2021, broadening them to include state entities and economic sectors in response to Belarus’ disputed 2020 election. The government declared President Alexander Lukashenko the winner, an outcome most election observers and Western governments considered implausible.
Belarus freed 25 political prisoners last week, and Mr. Trump responded by lifting sanctions on two Belarusian companies. Since Mr. Trump returned to the White House for his second term, Mr. Lukashenko has released hundreds of political prisoners in a series of deals that have prompted the U.S. to lift more sanctions.
The potential Belarus deal comes as the U.S.-Canada trade fight has sharply escalated. After trade talks broke down last month, Mr. Trump imposed a fresh round of 50% tariffs on a slew of Canadian products.
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Canada responded with retaliatory tariffs on more than $20 billion worth of U.S. goods. Mr. Trump fired back by banning Canadian imports of motorcycles, dairy and some alcohol.
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Jeff Mordock
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