High domestic demand and industrial use drive Chinas ammonia output
China continues to be a leading force in global ammonia supply, fueled by high agricultural and industrial demand. As the world’s largest consumer of nitrogen fertilizers, the country relies heavily on ammonia to produce key fertilizers such as urea and ammonium phosphate. These products help sustain crop yields and national food security, especially in regions with limited arable land.
According to GlobalData’s report, “Global Ammonia Market: Key Projects and Capacity Additions, 2026,” China is projected to account for roughly one-third of global ammonia production by 2030. Analysts note that rising domestic fertilizer needs will maintain strong ammonia demand through the end of the decade.
Beyond agriculture, ammonia is vital for China’s industrial sector. It serves as a base for producing chemicals like nitric acid, which is used in plastics, dyes, and other manufacturing materials. Ammonia also contributes to emissions-control systems at power plants and factories, reducing nitrogen oxide pollution.
China’s broad industrial base, including steel, textiles, electronics, and construction, relies on chemical intermediates. Steady ammonia supply supports these industries, ensuring ongoing manufacturing activity.
“As the world’s largest consumer of nitrogen fertilizers, China relies heavily on ammonia as the key building block for products such as urea and ammonium phosphate, which support crop yields and national food security. With rising pressure to maintain stable harvests amid limited arable land in the country, demand for ammonia-based fertilizers is expected to remain robust through the end of the decade,” said Nivedita Roy, Oil and Gas Analyst at GlobalData.
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