Temporary 8‑month duty‑free treatment is authorized for phosphate fertilizer imports from Morocco, suspending applicable duties and ADD/CVD deposits.
The President has declared an emergency under 19 U.S.C. 1318 and authorized temporary duty‑free importation of phosphate fertilizers from Morocco. For up to 8 months, or until the emergency is terminated, phosphate fertilizer imports from Morocco may enter free of customs duties and deposits of estimated duties under 19 U.S.C. 1671, 1675, and 1677j. Importers and brokers should prepare to claim this relief once Treasury/Commerce issue implementing regulations and adjust entry procedures and pricing accordingly.
1. What changed
The President, invoking section 318(a) of the Tariff Act of 1930 (19 U.S.C. 1318(a)), has:
- Declared an emergency related to the availability of sufficient fertilizer supplies for U.S. agriculture.
- Authorized the Secretary of the Treasury and the Secretary of Commerce to permit the temporary importation of phosphate fertilizers from the Kingdom of Morocco free of:
- Normal customs duties; and
- Deposits of estimated duties, if applicable, under sections 1671, 1675, and 1677j of title 19, United States Code (i.e., countervailing duty, administrative review, and anti‑circumvention‑related estimated duties).
- Directed that this relief be available for a limited period: until the earlier of (a) 8 months after the date of the proclamation (June 29, 2026) or (b) termination of the declared emergency.
Implementing details (conditions, documentation, and any special procedures) will be set by regulations or instructions issued by Treasury (U.S. Customs and Border Protection via DHS, as coordinated) and Commerce.
2. Affected products
- Product scope: “Phosphate fertilizers of the Kingdom of Morocco.”
- Country: Kingdom of Morocco (country of origin Morocco).
- Product type: Phosphate fertilizers used in agriculture (e.g., fertilizers containing phosphorus as a primary nutrient). The proclamation does not specify HTS subheadings or Chapter 99 provisions.
- Trade remedy coverage: The proclamation explicitly references relief from deposits of estimated duties under 19 U.S.C. 1671, 1675, and 1677j, indicating that phosphate fertilizers from Morocco currently subject to countervailing duty (CVD) and/or related trade remedy measures may be covered by the temporary suspension of duty collection.
Because no specific HTS codes are listed in the proclamation, importers must rely on:
- Existing Commerce scope descriptions for Moroccan phosphate fertilizer trade remedy cases; and
- Any forthcoming Treasury/Commerce regulations or CBP guidance that may define the covered HTS subheadings and any Chapter 99 numbers to claim the temporary duty‑free treatment.
3. Rate changes
The proclamation authorizes a temporary change in the effective duty treatment for covered imports:
- Normal customs duties: Temporarily reduced to 0% (duty‑free) for qualifying phosphate fertilizers from Morocco.
- Trade remedy deposits: Deposits of estimated duties under the following provisions are to be waived for qualifying imports during the relief period:
- 19 U.S.C. 1671 (countervailing duties),
- 19 U.S.C. 1675 (administrative reviews and related assessment/deposit instructions),
- 19 U.S.C. 1677j (anti‑circumvention measures).
The proclamation does not provide specific numerical duty or CVD rates; it instead authorizes complete suspension of collection of these duties and deposits for the defined period, subject to implementing regulations.
4. Dates
- Proclamation date: June 29, 2026.
- Relief period: The Secretary of the Treasury and the Secretary of Commerce are directed to permit duty‑free importation and suspension of estimated duty deposits for:
- Up to 8 months after June 29, 2026 (i.e., through approximately February 28, 2027), OR
- Until the emergency declared in the proclamation is terminated,
whichever occurs first.
- Implementation timing: The proclamation directs Treasury and Commerce to “take appropriate action” under section 318. Actual availability of the duty‑free treatment will depend on:
- Issuance of regulations, Federal Register notices, or CBP/Commerce guidance specifying effective dates, procedures, and any retroactivity.
Importers should not assume relief applies to past or current entries until implementing instructions confirm the effective date and any retroactive application.
5. Required actions for importers, brokers, and compliance teams
A. Monitor implementing regulations and guidance
- Watch for:
- Federal Register notices from the Department of the Treasury (likely via CBP/DHS) and the Department of Commerce implementing this proclamation.
- CBP Cargo Systems Messaging Service (CSMS) messages specifying:
- Effective date for duty‑free treatment,
- Any required Chapter 99 numbers or special program indicators,
- Documentation requirements to prove eligibility (e.g., certificates of origin, product descriptions, scope certifications).
B. Confirm product and country eligibility
- Verify that imported products are:
- Phosphate fertilizers as defined in forthcoming guidance (aligning with Commerce scope where trade remedies apply), and
- Originating in the Kingdom of Morocco under U.S. rules of origin.
- Coordinate with suppliers to obtain detailed product specifications and origin documentation to support classification and eligibility.
C. Adjust entry procedures
- Once implementing instructions are issued:
- Ensure brokers use the correct HTS classification and any designated Chapter 99 or special program indicators to claim duty‑free treatment.
- Confirm that CBP is not collecting normal customs duties or deposits of estimated CVD/other applicable duties under 19 U.S.C. 1671, 1675, and 1677j for qualifying entries.
- Maintain clear internal coding in ERP/entry systems to distinguish Moroccan phosphate fertilizer entries during the relief period.
D. Review existing trade remedy exposure
- For importers currently subject to CVD or related trade remedy measures on Moroccan phosphate fertilizers:
- Evaluate how the temporary suspension of estimated duty deposits will affect cash flow and landed cost.
- Monitor whether the relief affects only deposits or also final assessment (the proclamation speaks to “collection of duties and deposits of estimated duties”; implementing rules will clarify treatment of final assessments and any retroactivity).
E. Contracting and pricing
- For new or amended supply contracts with Moroccan producers:
- Consider including clauses addressing the temporary nature of the duty‑free treatment and potential reversion to normal duty/CVD deposit requirements after the relief period.
- Model landed cost scenarios for:
- The relief period (0% duty and no CVD deposits), and
- Post‑relief period (reinstatement of normal duties and CVD deposits).
F. Plan for the end of the relief period
- The relief automatically ends on the earlier of:
- 8 months after June 29, 2026, or
- Presidential termination of the emergency.
- Before the end date:
- Plan shipment timing to maximize benefit within the lawful window (subject to any rules on entry date vs. export date vs. arrival date that CBP may specify).
- Prepare to revert to standard duty and CVD deposit treatment for entries after the relief period.
G. Recordkeeping and audit readiness
- Maintain documentation to substantiate:
- Product description and classification as phosphate fertilizer,
- Moroccan origin,
- Proper use of any special program indicators or Chapter 99 provisions,
- Compliance with any conditions or regulations issued under section 318.
- Be prepared for CBP or Commerce reviews verifying that only eligible products and entries claimed the temporary duty‑free treatment.
6. References
Primary legal authority and proclamation:
- Proclamation: “Declaration of Emergency and Authorization for Temporary Duty Free Importation of Phosphate Fertilizer from Morocco,” dated June 29, 2026.
(Source: The White House – Presidential Actions / Proclamations)
Example access point: https://www.whitehouse.gov (navigate to Presidential Actions → Proclamations → June 29, 2026; exact URL may vary by site structure).
Statutory references cited:
- 19 U.S.C. 1318(a) (Tariff Act of 1930, section 318 – emergency authority for duty‑free importation of supplies for emergency relief work).
- 19 U.S.C. 1671 (imposition of countervailing duties).
- 19 U.S.C. 1675 (administrative reviews and related procedures for antidumping and countervailing duty orders).
- 19 U.S.C. 1677j (anti‑circumvention of antidumping and countervailing duty orders).
Importers should also monitor:
- Federal Register (https://www.federalregister.gov) for implementing notices from Treasury/CBP and Commerce.
- CBP CSMS (https://www.cbp.gov/trade/automated/cargo-systems-messaging-service) for operational guidance.
7. HTS metadata
- The proclamation does not list any specific HTS headings, subheadings, or Chapter 99 numbers.
- Affected HTS codes will be defined operationally by:
- Existing Commerce scope for Moroccan phosphate fertilizer trade remedy cases, and
- Any HTS/Chapter 99 references in forthcoming implementing regulations or CBP guidance.
As of the text provided, no explicit HTS codes are stated; therefore, the HTS metadata array remains empty.
8. Key takeaways
- Phosphate fertilizers from Morocco will be eligible, for a limited period, for duty‑free entry and suspension of estimated CVD and related deposits under specified trade remedy provisions, once implementing rules are issued.
- The relief is temporary (maximum 8 months from June 29, 2026, or earlier if the emergency is terminated) and will require careful monitoring of effective dates and conditions.
- Importers and brokers should prepare operationally to claim the benefit, ensure accurate product and origin qualification, and plan for the eventual reversion to normal duty and trade remedy treatment.