Phosphate Fertilizer CVD Sunset Review: Key Dates

The phosphate fertilizer CVD sunset review has entered a decisive phase, with major participation deadlines extending through April 2027. Importers, agricultural buyers, customs brokers, and drawback teams must understand that the review does not itself suspend the countervailing duty orders on phosphate fertilizers from Morocco and Russia. ## What the Full Sunset Reviews Will Determine The U.S. International Trade Commission is conducting full five-year reviews of the countervailing duty orders covering phosphate fertilizers from Morocco and Russia. The central question is whether revoking either order would likely result in the continuation or recurrence of material injury to the relevant U.S. industry within a reasonably foreseeable period. These injury reviews are distinct from the subsidy analysis generally performed by the U.S. Department of Commerce. Commerce considers whether countervailable subsidies would likely continue or recur if an order were revoked. The ITC evaluates the likely effect of revocation on the domestic industry, including potential import volumes, price effects, and industry impact. ### Why the Reviews Are Considered Extraordinarily Complicated The ITC classified the proceedings as extraordinarily complicated and extended the review period by up to 90 days. That designation reflects the complexity of the underlying markets and the record the agency expects to evaluate. Relevant considerations may include international phosphate supply, fertilizer pricing, domestic production capacity, agricultural demand, trade flows, and the competitive position of Moroccan and Russian suppliers. A full review generally provides a broader evidentiary process than an expedited review. Interested parties can submit briefs, present testimony, participate in the hearing, and respond to information developed during the proceeding. This gives domestic producers, foreign producers, importers, distributors, agricultural users, and other eligible stakeholders an opportunity to address the likely market consequences of revocation. ### The Orders Remain Legally Active The initiation or scheduling of a sunset review does not terminate an existing CVD order. The orders remain in effect unless and until the applicable agencies complete the review process and revocation becomes legally effective. Importers should therefore continue following current Commerce and U.S. Customs and Border Protection instructions for deposits and entry processing. Any separate temporary collection relief affecting qualifying Moroccan merchandise does not mean that the underlying order has been revoked, and it does not extend automatically to Russian merchandise. ## Critical ITC Deadlines for Importers and Stakeholders Participation requires careful docket management. Missing an appearance, brief, testimony, or hearing deadline can limit a company’s ability to influence the record or respond effectively to arguments made by other parties. ### Initial Participation and Access Entries of appearance and applications for access under an administrative protective order are due within 45 days after the October 9, 2026 publication date. Companies seeking access to business proprietary information generally need qualified counsel and must comply with the ITC’s protective order procedures. Fertilizer importers, distributors, blenders, cooperatives, and industrial users should determine promptly whether their commercial interests justify direct participation. Even companies that do not become formal parties should evaluate whether nonparty submissions, industry association participation, or support for a coordinated stakeholder position would be appropriate. The ITC requires electronic filing through its EDIS system. Internal review, outside counsel approval, confidentiality designations, and technical filing requirements should be addressed well before each deadline. ### March and April 2027 Schedule The principal review dates are: - March 15, 2027: Prehearing staff report placed on the nonpublic record

• March 24, 2027, at 5:15 p.m.: Prehearing briefs due
• March 25, 2027, at 5:15 p.m.: Requests to appear at the hearing due
• March 26, 2027, at 9:30 a.m.: Prehearing conference
• March 31, 2027, at noon: Written testimony and presentation slides due
• April 1, 2027, at 9:30 a.m.: In-person ITC hearing
• April 8, 2027, at 5:15 p.m.: Posthearing briefs and nonparty written statements due
• April 29, 2027, at 5:15 p.m.: Final comments on newly released information due These dates should be entered into legal, compliance, procurement, and executive calendars. Companies submitting economic evidence should work backward from the March deadlines to allow sufficient time for data validation, confidentiality review, witness preparation, and coordination with counsel. ## Import Compliance and Drawback Implications The phosphate fertilizer countervailing duties affect more than purchasing costs. They also create entry, accounting, liquidation, and duty recovery issues that require close coordination among importers, customs brokers, trade counsel, and finance teams. ### Entry Processing and Deposit Controls Importers should maintain accurate classification, country-of-origin, manufacturer, exporter, and scope information for affected phosphate fertilizer entries. Product descriptions alone may not be sufficient to establish whether merchandise falls within an order. Scope coverage generally depends on the controlling written description and the specific facts surrounding the imported product. The sunset review does not independently change applicable cash deposit requirements. Importers and brokers should follow current entry-specific instructions, including any lawful temporary relief that may apply to qualifying Moroccan shipments. Russian and Moroccan merchandise should not be treated interchangeably because country-specific orders, rates, exporters, and collection instructions may differ. Finance teams should also distinguish cash deposits from final duty liability. AD/CVD entries typically remain subject to later administrative processes and liquidation instructions. Importers should preserve entry documentation and monitor liquidation status, rate changes, protests, and other available procedures with qualified counsel. ### Separating AD/CVD From Drawback-Eligible Duty Countervailing duties and antidumping duties are not eligible for drawback under 19 U.S.C. 1677h. Exportation or destruction of imported phosphate fertilizer does not convert those trade remedy duties into recoverable drawback. Ordinary customs duties paid on the same entries may still qualify for drawback when all applicable eligibility, exportation, destruction, timing, and recordkeeping requirements are satisfied. Drawback calculations must therefore separate ordinary customs duty from CVD and any other nonrecoverable amounts. This distinction should exist at the entry-line and accounting levels. A system that combines all duty payments into one undifferentiated landed-cost field can overstate potential recovery and create unsupported claims. Importers and drawback filers should map each duty type separately, preserve CBP entry data, and ensure that accounting records can reconcile claimed amounts to the underlying import and export transactions. Agricultural buyers that consume fertilizer domestically will generally not have a drawback opportunity for that merchandise. However, importers, exporters, and manufacturers with qualifying exported or destroyed merchandise should still evaluate the ordinary duty component rather than assuming the entire entry is ineligible. ## Frequently Asked Questions ### What Is a Full Five-Year CVD Sunset Review? A full sunset review determines whether revoking a countervailing duty order would likely lead to continued or recurring subsidization and material injury. A full ITC review typically includes detailed questionnaires, staff analysis, party briefs, testimony, a hearing, and opportunities to comment on the evidentiary record. ### Do the Reviews Suspend CVD Deposits? No. A sunset review does not itself suspend cash deposit requirements or revoke an order. Importers must continue applying the instructions in effect for their entries. Separate temporary relief may affect certain qualifying transactions, but it should not be interpreted as termination of the underlying order. ### Who Can Participate in the ITC Proceedings? Eligible participants may include U.S. producers, foreign producers and exporters, importers, distributors, blenders, cooperatives, farmers, industrial users, and trade associations. Participation rights and access to confidential information depend on procedural status, timely filings, and compliance with administrative protective order requirements. ### Are Phosphate Fertilizer CVD Payments Eligible for Drawback? No. Countervailing duties and antidumping duties are excluded from drawback. Ordinary customs duties paid on the same imported merchandise may remain eligible if the transaction satisfies the applicable drawback requirements. Claims should clearly exclude all AD/CVD amounts. ### What Should Importers Do Before the 2027 Hearing? Importers should decide whether to participate, preserve relevant purchasing and entry data, calendar every deadline, and coordinate with counsel. They should also review deposit controls, confirm scope treatment, monitor liquidation, and prepare market evidence well before prehearing briefs are due on March 24, 2027. ## How Stable Software Can Help ### Strengthen Drawback Calculations Without Claiming AD/CVD Customs brokers managing fertilizer and other trade remedy entries need a clear separation between drawback-eligible ordinary duties and excluded AD/CVD amounts. DrawbackAI is flat-license duty drawback software that U.S. customs brokers can white-label for importer clients and use to file under their own filer code. Stable Software charges a flat software license and never takes a percentage of the importer’s refund. For brokers seeking to expand drawback services while retaining control of client relationships and filings, DrawbackAI provides a software model aligned with broker-led administration. Brokers evaluating claims involving entries with multiple duty types can explore whether DrawbackAI fits their drawback practice and client service strategy.

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