China synthetic ammonia supply rises, market pressure builds

China's synthetic ammonia supply continued to expand in 2026, pushing the market into a growing oversupply. With both domestic capacity ramping up and international supply recovering, prices are expected to face sustained downward pressure in the medium to long term.

China's synthetic ammonia industry saw continued capacity expansion in 2025, with merchant ammonia supply reaching 12,635 kilo tonnes, up 2% year-on-year. Domestic supply remained ample on a daily basis, and although occasional maintenance caused brief tightness, the overall market is facing growing oversupply pressure. China Merchant Ammonia Price (Unit: tonnes) Source: