US Selects Eight Fertilizer Projects With $1.34bn in Proposed Investment

October 23, 2026 | By Semahegn Nigatu

The United States has selected eight fertilizer manufacturing projects representing more than 1.34 billion US dollars in proposed investment, as the Trump administration seeks to expand domestic production and reduce reliance on foreign suppliers.

The projects are expected to receive about 573 million US dollars in proposed funding from the US Department of Agriculture (USDA), with the remainder coming from other sources. The selections cover new and expanded production facilities across the country, according to the department.

The initiative targets nitrogen, phosphorus, potassium and sulfur fertilizers, key agricultural inputs whose prices and availability affect farming costs. USDA economic analysis estimates that the additional capacity could reduce nitrogen fertilizer prices by 4.4 per cent and potash prices by 5.3 per cent once the projects become operational.

The selected projects are expected to support about 1.08 million tons of annual fertilizer production capacity, although the department’s project-level estimates vary in scope and include different fertilizer products.

Vice-President JD Vance and Agriculture Secretary Brooke Rollins announced the selections under the Fertilizer Investment and Expansion for Long-Term Domestic Supply (FIELDS) programme, which was launched with 500 million US dollars to support domestic manufacturing.

“Farm security is national security. America cannot afford to depend on foreign nations for the fertilizer needed to grow our food and feed our families,” Rollins said.

The administration said it would also redirect funding recovered from projects under an earlier federal fertilizer programme towards investments it considers financially viable and closer to implementation.

The funding comes amid concerns about concentration in the North American fertilizer industry. According to the USDA announcement, four companies control about 77 per cent of the region’s nitrogen production capacity, while two companies account for more than 90 per cent of phosphate capacity and two produce about 90 per cent of potash.

The department estimates that the selected projects could increase domestic nitrogen production by 3.7 per cent and potash production by nearly 40 per cent when operational.

The largest proposed USDA awards include 139 million US dollars for Intrepid Potash to develop a sulphate of potash facility near Carlsbad, New Mexico, and 116.9 million US dollars for Agriculture Project Holdco to develop fertilizer facilities in Kansas and Indiana.

Other selected projects include modular ammonia production units across seven states by TalusAg, an expansion by Peace Valley in Florida, upgrades to PCI Nitrogen facilities in Texas and Oregon, and an ammonia plant modernisation by AdvanSix in Virginia. Projects by SUL4R-PLUS Illinois and True Organic Products would expand sulphur-based and organic fertilizer production, respectively.

The USDA said the investments are intended to expand manufacturing capacity, encourage competition and improve the availability of fertilizer for American farmers.

The funding amounts remain proposed awards, and the projects’ projected output and price effects depend on their development and eventual operation. The announcement did not provide a common completion timetable for all eight projects.

Source: FSX Business News