Market Intel
Reduced Tariffs…
But No Push-Button Refund
One Market Intel source says that not only are tariff clauses at the top of ingredient import purchase orders, but now they’re “BIGGER and BOLDER” than ever.
In a split-decision last month, the U.S. Supreme Court ruled that the International Emergency Economic Powers Act does not authorize the president to impose sweeping, open-ended tariffs. The IEEPA had powered the administration’s 2025 trade policy, levying duties that impacted prices of imported feed micro ingredients.
A new across-the-board 10% tariff is in the offing. Meantime, in the words of one expert: “Other statutory authorities remain in play, and businesses and trading partners are left to assess what comes next.”
Soybean meal: Amid trade tariff uncertainties, added uncertainty about Argentina’s soy crop helped to push SBM board prices up with the basis up, too. However, basis was not likely to stay up, Market Intel sources suggest. Meanwhile, Canada-China trade incentives have made canola meal supplies very tight, with prices approaching SBM. Soy protein products prices followed SBM up, but the basis softened.
Palm & bypass fat products: Inventories of palm products in the U.S. remain high, bringing prices down a bit. Sources suggest resellers are giving in to supply side effects.
Amino acids: On top of the ongoing question of countervailing duties, new tariff questions now confuse the Chinese lysine trade. Limited spot supplies are pushing prices up. There are still good supplies of tryptophan, threonine, and valine, which hover near the bottom of a pricing cycle, sources say. Tight DL methionine supplies persist with prices firm to slightly higher.
Vitamins: There are good supplies of most vitamins — despite the Chinese New Year holiday — and little price movement for vitamin A and vitamin E. The vitamin D3 price continues trending down.
Trace minerals: Prices for copper sulfate and tribasic copper chloride (TBCC) continue to rachet up, based on pressure for industrial supply. Zinc sulfate prices are slightly stronger, firming up overall. There’s little change for manganese compounds.
Blood products: Supply is good overall with prices creeping lower, per Market Intel sources. Trucking challenges appear to be affecting local availability in the Tri-State.
P & K: Prices for phosphates are steady with no change in forecasted feed grade supply despite fertilizer demand. Pricing for both potassium chloride (KCl) and magnesium oxide (MgO) remain steady, too.
Urea: Prices are up on the fertilizer side, but not yet on the feed side. Will overall demand impact feed this spring? It’s an open question, sources suggest.
Distillers: The upswing in DDGS prices is pushing the ingredient out of swine diets and affecting dairy diet decisions. Here’s another angle on the new China-Canada trade deals — Canadian distillers crossing the Pacific.
Wheat midds: After the late-2025 spike in prices, they’re trending lower now. Supply and quality look good with new processing coming on-line.
Soy hulls: Supplies of pellets remain very tight and prices high. But loose hulls are readily available and prices are coming down.
Over the horizon… Rejiggering of tariffs on ingredient imports. What about refunds for tariffs paid last year?  Make that “way over the horizon.”