Global Ammonia Prices Split as Asia Weakens, West Finds Support in Late August

Ammonia prices in China continued to fall during the review period, as the market grappled with persistent oversupply and subdued downstream demand. Despite limited maintenance activity at select production units, overall supply remained loose, with manufacturers—particularly in Shandong—expanding ammonia conversion capacity and accumulating liquid ammonia inventories. This surge in stock levels intensified pressure on producers, prompting price cuts and under-quoting by distributors to stimulate sluggish sales. On the demand side, agricultural consumption remained in its seasonal lull, while industrial uptake was steady but inflexible, offering little support to the market.

Similarly, the US, ammonia prices showed signs of firming. However, surged marginally during the final week of August ****, driven by supply-side uncertainty and shifting market sentiment. Further, the price of essential feedstock Natural Gas was also declining during the...