Trump’s Cheaper Potash Lie: A Favor to Putin That Would Cost America More Than Buying From Canada Trump prefers to buy potash from Putin’s ally, Belarus, than from Canada. And at a higher price. That tells you everything you need to know about his allegiance, his true “North Star,” and the future of Canada’s relationship with the USA. I explain here how and why Trump is lying when he says Belarus potash will be cheaper. 🇧🇾True, Belarus extraction costs are lower ($50 per ton) than Canada’s ($80 per ton). The former Soviet Republic obtains this lower cost because ALL POTASH in its ground is mined through a state monopoly. No rivals, thus it pays its workers less, is less profit-sensitive, and heavily subsidized by the government. They don’t care much about protecting the environment, so no costs related to that! 🇨🇦Canada’s potash is mined by private companies, pays its workers better, and so forth. Therefore, Belarus can offer a 30 to 40% discount to its clients. 🇧🇾Advantage Belarus. But the math changes because of the nature of the mineral, and geography. Potash is a heavy, bulky commodity, meaning transportation accounts for a massive percentage of its final market price! Low-value and complicated to move, the logistics of potash can account for anywhere from 20% to over 50% of the final delivered price, depending on the distance traveled. Belarus is on the other side of the world and landlocked! Its potash would have to travel thousands of kilometers through war-torn Russia, be handled at coastal ocean terminals, then spent weeks in the sea, be managed again at US ports, and endure again thousands of kilometers of domestic US road or train travel! The logistical feat is such that all the price advantage would be eaten. And more! The freight costs actually end up costing more than the potash itself. 🇨🇦Advantage Canada. The USA would be buying it at a much higher price. And you know the price of oil these days... Canada is next door. The only way to make its potash less attractive than Belarus’ is: If Belarus, to dump its potash and make itself agreeable to Trump, absorbs the transit costs. Artificial, through tariffs imposed by the USA. Right now, potash is tariff-free. This is maybe what Trump intends to do. Proving again who its true allies are: Russia, through its lackey, Belarus. #cdnpoli #Potash #uspoli