- Reaction score
- 26,686
- Points
- 1,360
Perhaps it's a strategy for the upcoming CUSMA negotiations, pointing out America has "other options" to Canada if we try to bring up American reliance on the product, while giving Belarus (Russia?) a way to sell product.
According to this article on the Investing News Network website the top three producers of Potash are:
1. Canada
Potash production: 15 million metric tons
Potash reserves: 1.1 billion metric tons
2. Russia
Potash production: 9 million metric tons
Potash reserves: 920 million metric tons
3. Belarus
Potash production: 7 million metric tons
Potash reserves: 750 million metric tons
So, if Russia were to sell their potash through their client state Belarus in order to bypass sanctions, then between them they produce 16 million metric tons annually (vs 15 million metric tons by Canada) and have total reserves between them of 1.67 billion metric tons (vs 1.1 billion metric tons in Canada).
That tracks with Trump's ongoing efforts to re-engage in business with Russia while at the same time applying economic pressure on the US's traditional allies.
So if Canada sells 10-12MT to US annually, U.S. would most definitely have to work out how to get Belarusian potash, and as noted, would likely be by bullying/‘convincing’ Latvia/Europe to let it be transited through Latvia and the Baltic. Interesting COAs about
The question for Canada (and Belarus and Russia) is can it pivot (and how quickly) its potash sales to the international market, that would be losing the Belarusian (and proxy Russian) potash ash imports to the US?
I suspect Canada’s job might be easier (shipping potash to other international customers) than Trump will have be coming ‘dependent’ on Russia (and its proxy(ies)) for its fertilizer.
