Price trend:

Last week (November 3-7), domestic liquid ammonia prices rose. According to the SunSirs commodity market analysis system, the weekly increase in liquid ammonia prices in Shandong Province was 3.31%. This was mainly due to stable downstream demand and the fact that some maintenance plants had not yet resumed operations, slightly easing supply pressure. As of November 7, the mainstream price of liquid ammonia in Shandong Province was between 2,250-2,400 RMB/ton.

Analysis review

From the supply side, supply remained generally stable last week, with supply pressure easing slightly. The operating rate of plants in the main producing areas of northern China saw limited recovery. Some plants were still under maintenance last week, leading to a decrease in supply. Additionally, supply pressure in Anhui and the Hubei-Hunan region was not significant, while plants in Hebei, Henan, and Shanxi experienced short-term fluctuations due to environmental protection measures. Prices were mostly raised from mid-week to the end of the week, with manufacturers increasing prices by around 100 RMB/ton this week. The market showed a basic balance between supply and demand.

On the demand side, downstream demand improved slightly. Among them, the operating rate of compound fertilizer improved, and the demand for urea remained strong. In agriculture, agricultural procurement demand had increased significantly, but industrial demand was generally weak. Demand was mainly rising moderately, and downstream urea prices had turned from falling to rising. According to the commodity analysis system of SunSirs, urea prices rose by 1.57% last week, and the terminal's ability to receive goods had strengthened, with many purchasing at lower prices.

Market Forecast:

Analysts at SunSirs believe that the slight increase in liquid ammonia prices lastweek was mainly due to favorable supply-side conditions. However, with the expected resumption of maintenance at plants in northern China next week, supply will face pressure, and the potential for further price increases in liquid ammonia is likely to be limited.

If you have any inquiries or purchasing needs, please feel free to contact SunSirs with support@sunsirs.com.