AmericanHort urges exclusion of sphagnum peat moss from proposed Canadian tariff

AmericanHort, in collaboration with several industry associations, has submitted five letters to Congress and the Trump administration expressing significant concerns regarding the potential implementation of a 25% tariff on Canadian goods, specifically targeting sphagnum peat moss.

Sphagnum peat moss is an important production component in the horticultural and agricultural industries, serving as a primary base for potting soil and growing media and playing a significant role in the production of vegetables, fruits, ornamentals and mushrooms. 

"Peat moss is a vital input to our member's operations and the horticultural industry," said Matt Mika, vice president of advocacy and government affairs at AmericanHort. "With production costs already high, imposing additional costs would further drive up input and operational expenses, placing a significant financial strain on our industry."

The proposed tariff threatens to increase production costs for horticulture growers nationwide, potentially resulting in increased consumer prices of certain food products and greenhouse plants, AmericanHort said.

The letters highlight the economic impact of such tariffs. The North American sphagnum peat moss industry is predominantly based in Canada, with 85% of its production exported to the U.S. This accounts for 96% of American sphagnum peat moss imports.

The U.S. horticultural industry potentially impacted by the proposed tariff contributes approximately $527 billion annually to the U.S. economy. Given the limited commercially viable U.S. peatlands, growers rely heavily on imports of peat-based products. The imposition of tariffs could severely impact national food security and economic stability, AmericanHort said.

In the letters, AmericanHort urged the administration to exclude sphagnum peat moss and peat-based products from any proposed tariffs or grant a "critical mineral" status, thereby reducing the tariff rate to 10%.  

The five letters were addressed to the House and Senate Agriculture Committees, the House Ways and Means Committee, the Senate Finance Committee, the president and the vice president.

The letters were signed by AmericanHort, American Mushroom Institute, International Fresh Produce Association, National Association of Landscape Professionals and National Christmas Tree Association.