SunSirs:The Urea Market Experienced Volatile Upward in December

Price trend:

According to SunSirs' commodity price analysis system, as of December 29th, the average reference price of urea in the domestic market was 1,732 RMB/ton, an increase of 1.76% compared to the average reference price of 1,702 RMB/ton on December 1st.

Market Analysis

Supply and demand situation

This month, domestic urea market prices fluctuated, mainly showing an upward trend. In the first half of the month, domestic urea prices rose slightly before stabilizing. The domestic urea market had ample supply and relatively stable demand. Daily urea production remained high, with downstream buyers mainly replenishing their stocks based on immediate needs, leading to steady demand. In the second half of the month, domestic urea prices rose rapidly. Influenced by information regarding Indian urea tenders, urea futures prices increased, and spot market prices followed suit, leading to an increase in new orders in the urea market. Prices fell back at the end of the month.

Market Situation

As of December 29th, the market price for urea in Shandong province was approximately 1,670-17,30 RMB/ton, in Hebei province approximately 1,670-1,730 RMB/ton, in Henan province approximately 1,660-1,720 RMB/ton, and in Liaoning province approximately 1,720-1,750 RMB/ton.

According to data from SunSirs, domestic urea prices fluctuated during the period. In December, domestic urea prices generally increased, with the largest increase of 1.46% occurring in the week of December 15th.

Market Outlook

According to SunSirs' urea analyst, the urea market has been showing a weak downward trend recently. As of December 29th, daily urea production has increased slightly, but market trading activity was sluggish, and downstream buyers were slowing down their purchases and adopting a cautious approach. Industrial and agricultural demand remained average. It is expected that domestic urea market prices will continue to fluctuate and weaken in the short term.

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