IEEPA Fertilizer Tariffs: Revenue, Relief, and Pass-Through

➩ U.S. raises IEEPA tariffs across major trading partners. The new tariff structure ranges from a 10% baseline to rates as high as 50% for selected countries.

➩ Effective tariffs on agri-food products increase nearly four-fold. The trade-weighted tariff rises from roughly 4% under MFN rates to about 15% under the new measures.

➩ Exemptions reduce the overall impact. Many imports from Mexico and Canada remain largely protected through USMCA, while negotiated arrangements with the European Union and other partners limit tariff stacking.

➩ Non-exempt suppliers face much larger increases. Products such as Brazilian coffee and beef, Swiss coffee and bottled water, and selected Chinese packaged foods face some of the largest increases.

➩ Agricultural input tariffs rise sharply. The United States imports more than $30 billion in agricultural inputs, with the overall effective tariff increasing from roughly 1% to 12%.

➩ Pesticides and farm machinery face some of the largest increases. Pesticides can face effective rates near 25%, while tractors and machinery rise into the low-to-mid teens.

➩ China extended its Section 301-related tariff exclusions. Applications were extended through October 30, with approved exclusions continuing through December 13.

➩ U.S. agricultural exports remain mixed. June exports increased 3% year over year, while year-to-date exports remained 2% lower and exports to China were down substantially. 

Recommended Citation: Arita, S., Kim, J., Lwin, W., Steinbach, S., Wang, M., and Zhuang, X. (2025). IEEPA Tariff Escalation: What It Means for U.S. Food and Ag-Input Imports. NDSU Agricultural Trade Monitor 2025-08. Center for Agricultural Policy and Trade Studies, North Dakota State University. August 12, 2025. https://doi.org/10.22004/ag.econ.364771