PhosAgro will challenge Mosaic’s argumentation
PhosAgro disagrees with the arguments of Mosaic, which initiated an anti-dumping investigation related import of phosphorus fertilizers from Russia and Morocco to the United States.
As the press-release of PhosAgro on the company’s 2Q2020 financial results says, on June 26, 2020, Mosaic, the main producer of phosphorus fertilizers in the United States, petitioned the US International Trade Commission and the US Department of Commerce to investigate, whether the production of phosphorus fertilizers was subsidized and introduce countervailing duties on phosphorus fertilizers imported from Morocco and Russia. PhosAgro doesn’t agree with Mosaic’s argumentation and intends to take all necessary measures to challenge it. However, the beginning of the investigation has almost completely stopped the supplies of phosphorus fertilizers from Morocco and Russia to the US, which, in turn, has led to a significant increase in prices in the US domestic market by more than $60 per ton to date.
According to PhosAgro, the continued stable demand on phosphorus fertilizers from India and Brazil amid limited exports from China, combined with the upcoming development of seasonal demand in Europe and Africa, are helping to balance the market as a whole and maintain an upward price trend.
The nitrogen fertilizer market is at the stage of peak demand in India and Latin America, which keeps carbamide prices at higher levels than in the 2nd quarter.