US Potash Production to Double by 2022

US Potash Production to Double by 2022

Despite projected minimal declines in demand, US production of potash is set to expand to more than double the production levels seen in 2017 over the next five years as US firms expand. This development is timely, as the US government recently listed potash as crucial to economic and national security.

Increasing Output

Primarily used as fertilizer, potash is vital to the country’s food security. Only three companies – Intrepid Potash, Mosaic, and Compass Minerals– produced potash in the US in 2017, spread across seven sites. Of those, four operations are based in New Mexico and three in Utah. One new potash operation is projected to begin production over the forecast period – Michigan Potash is in the process of opening a facility in Michigan. Compass Minerals plans to expand the capacity of its evaporation facility in Utah from 255,000 tons of potash to 500,000 tons.

Decreasing Input

Increased domestic production capacity will result in a slight reduction in import penetration. Nevertheless, the US will remain largely dependent on imports to satisfy domestic demand. In 2017, 94% of domestic demand was met by imported potash. By ramping up production, the US can take steps to further improve national security by easing dependence on foreign-produced potash. Foreign dependence is unlikely to ever be fully dissolved with such high levels of domestic demand and a limited number of domestic resource deposits and producers, but the projected capacity expansions in the coming years are an important milestone.

Want to Learn More?

Don’t worry, we have you covered! For additional information and analysis of US industry trends, see Potash: United States, a report published by the Freedonia Focus Reports division of The Freedonia Group. This report forecasts US potash demand and production in metric tons to 2022. Total demand is segmented by product in terms of:

  • potassium chloride
  • potassium sulfate
  • potassium magnesium sulfate
  • other products

Total demand is also segmented by application as follows:

  • fertilizer
  • non-fertilizer

To illustrate historical trends, total demand, total production, and the various segments are provided in annual series from 2007 to 2017.

While you’re there, check out some of our related reports, which include:

About the Author

Chris Dyer is a Market Research Analyst for Freedonia Focus Reports. He holds a Master of Arts in Security Studies, and his experience as an analyst covers multiple industries.