Why did the Ammonia Price Change in July 2025? The Ammonia Spot Price in North America declined consistently throughout Q2 2025, falling from USD 435/MT in April to USD 404/MT by June, marking a quarter-over-quarter drop of approximately 7.1%.

Get comprehensive insights into the Ammonia market, with a focused analysis of the Ammonia price trend across Asia, Europe, North America, Latin America, and the Middle East Africa.

The global ammonia market is expected to witness significant growth from 2023 to 2032. The market value of ammonia amounted to nearly ** billion U.S. dollars in 2023 and is anticipated to exceed *** billion U.S. dollars in 2032. This growth is driven by the increasing demand for ammonia in various end-use industries such as fertilizers, chemicals, and pharmaceuticals.

The ammonia market is 190 million tonnes in 2023 and is projected to cross 230 million tonnes by 2032 with A CAGR of 6.5%, primarily driven by increasing consumption in the Agriculture Industry.

The green ammonia market is projected to grow from USD 475.2 million in 2025 to USD 49,320.5 million by 2035, at a CAGR of 68.0%.

Green Ammonia Market by Top Investment Segments

Country-wise Outlook

In Q1 2025, the North American Ammonia market experienced a modest decline in prices, influenced by a combination of adequate supply and subdued demand. Sufficient availability of both domestically produced and imported Ammonia, supported by earlier stockpiling efforts, helped maintain balanced inventories across the region. On the demand side, purchasing activity remained muted, primarily due to adverse winter weather conditions that hindered transportation and discouraged buyers from building inventory.

Discover the factors that influence the price of ammonia, including global supply and demand, energy costs, and market speculation. Learn how prices have fluctuated in recent years and what the future may hold for this important commodity.

The East European ammonia market totaled $15.7B in 2024, increasing by 15% against the previous year. The total consumption indicated a measured increase from 2012 to 2024: its value increased at an average annual rate of +2.7% over the last twelve-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2024 figures, consumption decreased by -12.5% against 2022 indices. As a result, consumption reached the peak level of $17.9B.

Ammonia Market size was valued to be USD 83.22 Billion in the year 2024 and it is expected to reach USD 134.47 Billion in 2031, at a CAGR of 6.82 % over the forecast period of 2024 to 2031.Global Ammonia Market DriversThe market drivers for the Ammonia Market can be influenced by various factors. These may include:Sector of Agriculture: Ammonia is needed to produce fertilizers, especially urea. Crop production and other agricultural operations are directly related to the demand for ammonia. Demand for agricultural goods rises in response to changes in dietary choices and worldwide population growth, which in turn drives demand for ammonia.Ammonia finds extensive usage in a range of industrial processes, such as the production of nitrogen-based compounds such as nitric acid and ammonium nitrate. Ammonia is used in the manufacturing of textiles, plastics, explosives, medicines, and other products, which increases demand overall.Infrastructure Development: Large-scale refrigeration units, such those in food storage warehouses, cold storage facilities, and ice producing plants, employ ammonia as a coolant and in their refrigeration systems. Ammonia demand is fueled by the ongoing construction of infrastructure, particularly in emerging nations where refrigeration and cooling systems are becoming more and more necessary.Environmental rules: The demand for ammonia may be impacted by environmental rules that are designed to lower greenhouse gas emissions and improve air quality. Ammonia, for example, can be utilized as a feedstock for the creation of green energy through hydrogen synthesis or as a clean alternative fuel for vehicles. Policies that support sustainable development and clean energy may open up new markets for ammonia.Technological developments: By altering production costs and supply availability, improvements in ammonia manufacturing procedures, such as those using Haber-Bosch synthesis or the creation of more effective and ecologically friendly production techniques, can impact market dynamics.Global Economic Conditions: The demand for ammonia is influenced by the expansion of economies and industrial activity in major economies. The demand for ammonia can be driven or restrained by variables like GDP growth rates, industrial output, and investments in infrastructural projects.Energy Prices: A major factor in determining the cost of producing ammonia is the price and accessibility of energy sources, especially natural gas. Changes in energy costs have the potential to impact market dynamics and ammonia production's competitiveness.

Anhydrous Ammonia Market Size Value in Sweden, 2022 Discover more data with ReportLinker!

The global ammonia market, valued at $82.49 billion in 2025, is poised for significant growth driven by the burgeoning fertilizer industry and increasing demand for refrigerants in various sectors. The market's expansion is fueled by rising global population, necessitating higher food production and subsequently increased fertilizer use. Furthermore, the ammonia market benefits from its crucial role in industrial applications, including polymer synthesis and other chemical processes. While the precise CAGR is unavailable, considering industry growth trends and the expanding fertilizer and industrial sectors, a conservative estimate would place the annual growth rate between 3-5% over the forecast period (2025-2033). This growth trajectory, however, is subject to potential restraints such as fluctuating energy prices (a major production cost factor), environmental regulations targeting ammonia emissions, and geopolitical instability impacting fertilizer trade. Key players like Yara, CF Industries, and Nutrien are strategically positioning themselves to capitalize on these market dynamics through capacity expansions, technological advancements aimed at improving efficiency and reducing emissions, and exploring new market opportunities. Regional analysis reveals that Asia-Pacific, particularly China and India, will be significant growth drivers due to their large agricultural sectors and growing industrial bases. North America and Europe will also contribute substantially, albeit at a potentially slower pace than Asia-Pacific. The market segmentation by application (fertilizer, refrigerant, polymer synthesis, etc.) and type (liquid and gas ammonia) further reveals the diversity of the market and its intricate dependence on various industry verticals. The competitive landscape is characterized by both established multinational corporations and regional players. Strategic alliances, mergers and acquisitions, and technological innovations will continue to shape the market's competitive dynamics. Factors like increasing demand for sustainable and efficient ammonia production methods and the growing adoption of precision farming techniques will further influence the market's trajectory in the coming years. The forecast period (2025-2033) promises continued expansion, with the potential for accelerated growth if energy costs stabilize and environmental concerns are proactively addressed through technological advancements and responsible industry practices. Careful monitoring of global food security concerns and the resulting impact on fertilizer demand will be crucial for accurate future market projections.

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Ammonia (NH3) Market Size 2025-2029

The ammonia (NH3) market size is forecast to increase by USD 13.33 billion at a CAGR of 3.1% between 2024 and 2029.

Ammonia's potential as a hydrogen carrier in energy storage systems and its application in ammonia-based hydrogen production continue to gain traction. This demand is fueled by the growing global population and the need to increase agricultural productivity to meet food security requirements. Another key trend in the market is the development of renewable ammonia, which offers a more sustainable alternative to traditional ammonia production methods. However, the market faces significant challenges, including safety and handling risks associated with ammonia's toxic and corrosive properties.
These risks necessitate stringent regulations and safety protocols, adding to production costs and potentially limiting market growth. Companies seeking to capitalize on market opportunities must prioritize innovation in safe and efficient ammonia production methods, while also addressing the growing demand for sustainable alternatives. Effective navigation of these challenges will be crucial for market success. Ammonia-based power generation through fuel cells and ammonia in bioenergy are emerging trends, with ammonia being used as a carbon-neutral fuel source.

What will be the Size of the Ammonia (NH3) Market during the forecast period?

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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Ammonia-based chemicals play a pivotal role in various industries, including textiles, bioplastics, and hydrogen production. Ammonia's versatility extends to textiles as a crucial component in the production of dyes and textile finishes. In the realm of bioplastics, ammonia is employed as a building block for producing biodegradable polymers. Ammonia cracking is a significant process in the production of ammonia-based fuels, which are increasingly being explored as cleaner alternatives to traditional fossil fuels. Ammonia blending is a common practice in the transportation sector, where ammonia is used as a fuel additive to reduce emissions. The Ammonia market is driven by the increasing demand from the agriculture sector, particularly for use as fertilizer.
Ammonia decomposition is a critical process in the production of nitrogen-based fertilizers, while ammonia in construction is used as a component in various building materials. Ammonia's role in desulfurization processes is essential in the refining industry, and its application in biochemicals and mining industries further broadens its reach. Ammonia electrolysis is a key process in the production of ammonia, and advancements in this technology are driving down production costs and increasing efficiency. Ammonia's role in plastics production is significant, with ammonia being used as a monomer and solvent in various polymerization processes.

How is this Ammonia (NH3) Industry segmented?

The ammonia (nh3) industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD million' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Form Factor

  Liquid
  Gas


Application

  Fertilizer
  Industrial


Geography

  North America

    US
    Canada


  Europe

    Germany
    Russia


  Middle East and Africa

    Egypt


  APAC

    China
    India
    Indonesia


  South America

    Brazil


  Rest of World (ROW)

By Form Factor Insights

The liquid segment is estimated to witness significant growth during the forecast period. Ammonia, a vital industrial and agricultural commodity, is primarily available in its liquid form due to its higher energy density and easier handling characteristics. Produced through natural gas reforming or nitrogen fixation via the Haber-Bosch process, liquid ammonia is stored under moderate pressure or low temperatures to maintain its state. Its versatility is evident in its extensive applications, including ammonia power plants, cooling systems, and ammonia refrigeration. Safety protocols are stringently adhered to in the production, transportation, and utilization of ammonia due to its toxic nature. Regulations and certifications ensure compliance with environmental standards, minimizing air and water pollution.

Ammonia's role in industrial chemicals, sustainable agriculture, and renewable energy is significant. Ammonia carriers and distribution networks enable efficient transportation and supply, while new technologies and innovations continue to optimize production costs and energy efficiency. Ammonia's utilization in fertilizers, crop yield optimization, and carbon capture further expands its market reach. Market dynamics are influenced by factors such as ammonia pricing, demand,

According to Cognitive Market Research, the global Anhydrous Ammonia market size will be USD 72142.6 million in 2024. It will expand at a compound annual growth rate (CAGR) of 8.20% from 2024 to 2031.

North America held the major market share for more than 40% of the global revenue with a market size of USD 28857.04 million in 2024 and will grow at a compound annual growth rate (CAGR) of 6.4% from 2024 to 2031.
Europe accounted for a market share of over 30% of the global revenue with a market size of USD 21642.78 million.
Asia Pacific held a market share of around 23% of the global revenue with a market size of USD 16592.80 million in 2024 and will grow at a compound annual growth rate (CAGR) of 10.2% from 2024 to 2031.
Latin America had a market share of more than 5% of the global revenue with a market size of USD 3607.13 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.6% from 2024 to 2031.
Middle East and Africa had a market share of around 2% of the global revenue and was estimated at a market size of USD 1442.85 million in 2024 and will grow at a compound annual growth rate (CAGR) of 7.9% from 2024 to 2031.
The Agricultural Anhydrous Ammonia category is the fastest growing segment of the Anhydrous Ammonia industry

Market Dynamics of Anhydrous Ammonia Market

Key Drivers for Anhydrous Ammonia Market

Increasing Demand for Fertilizers to Boost Market Growth

Ammonia is used extensively in agriculture because it increases crop yield and, consequently, food security. Due to the world's population growth, there is a significant demand for goods like fertilisers. The International Fertiliser Association provided the data used to analyse the global consumption of ammonia in fertilisers for the years 2019 to 2022. The data, which is displayed in the figure below, demonstrates the fluctuations in ammonia consumption in fertilisers. Its constant elevation, however, emphasises its significance for contemporary agriculture. China, India, the United States, and Brazil are among the major agricultural nations that depend on ammonia to produce nitrogen fertilizers. For instance, it is predicted that there will be more than 9 billion people on the planet by 2050. A 60–70% increase in food production is needed to fulfil the rising demand./p>

Ammonia Demand Will Rise as Researchers Work to Reduce Greenhouse Gas to Drive Market Growth

Ammonia, which is needed to generate fertilisers, is often made using the Haber-Bosch process from nitrogen and hydrogen. Around 1.8% of the world's CO2 emissions are caused by its production using traditional fossil fuel-based methods. Researchers from the University of Minnesota and the University of Illinois at Chicago have been experimenting with a new electrolysis technique that produces an average of 2.8 tonnes of CO2 per tonne of NH3 while using about the same amount of energy as the conventional method. Furthermore, 2.65 tonnes of CO2 would be produced during the electrolysis process if power from fossil fuels were used, while renewable energy sources might result in zero carbon emissions. Furthermore, the researchers are assessing the potential for employing airborne NH3 instead as a source of purified nitrogen gas.

Restraint Factor for the Anhydrous Ammonia Market

Fluctuating Raw Material Prices Will Limit Market Growth

Natural gas and coal are the primary raw materials required to make ammonia, and their prices fluctuate due to geopolitics, speculation, and changes in energy regulations. Changes in demand periods or supply disruptions, as well as advancements in extraction and exploration technology, can all cause fluctuations in the price of natural gas. Ammonia is produced using a volatile raw material, and fluctuations in the price of the raw material directly affect the prices of ammonia on the market.

Impact of Covid-19 on the Anhydrous Ammonia Market

The Asia Pacific fertiliser market supply chain has been severely impacted by the COVID-19 outbreak. Road and port congestion, delays in customs clearances, and disruptions in local and international transportation systems all had an impact on crop producers by limiting their access to fertilisers. Due to farmers' inability to obtain raw materials, the reliance on oilseed and grain production on these characteristics has led to decreased productivity. For example, the Indian government is keeping a careful eye on fertiliser production...

The global ammonia market, valued at $75.39 billion in 2025, is projected to exhibit a steady growth trajectory, driven primarily by its crucial role in fertilizer production to meet the escalating global food demand. The 1.1% CAGR indicates a moderate yet consistent expansion, reflecting both opportunities and challenges within the sector. Growth is expected to be fueled by increasing agricultural activities, particularly in developing economies experiencing population growth and rising disposable incomes. Furthermore, the rising demand for ammonia in industrial applications, such as the production of nitric acid, urea, and other nitrogen-based chemicals, contributes to market expansion. However, environmental concerns surrounding ammonia emissions and the volatility of raw material prices, such as natural gas (a key feedstock), pose significant restraints on market growth. Stringent environmental regulations aimed at reducing greenhouse gas emissions are likely to necessitate investments in cleaner production technologies, impacting market dynamics. Competition among major players, including Yara, CF Industries, and Nutrien, is intense, driving innovation and efficiency improvements. Regional variations in growth rates are anticipated, with developing regions likely to experience faster expansion than mature markets due to differences in agricultural practices and infrastructure development. The forecast period of 2025-2033 presents opportunities for companies to leverage technological advancements, optimize production processes, and strategically expand into high-growth markets. The market segmentation, while not explicitly provided, likely includes various forms of ammonia (e.g., anhydrous ammonia, aqueous ammonia), application segments (e.g., fertilizers, industrial chemicals), and geographical regions. Understanding the nuances within these segments is crucial for effective market analysis. Future growth will depend on factors such as global food security policies, technological advancements in ammonia production, and the price of natural gas, along with the implementation of effective environmental regulations that balance sustainable practices with economic viability. The continued dominance of established players alongside the emergence of innovative technologies and new entrants will continue to shape the competitive landscape of the ammonia market in the coming years.

Global green ammonia market size is expected to grow from USD 701 million in 2024 to USD 2,672 million in 2025 and USD 55,056 million by 2032, at CAGR of 54.1%

In June 2022, the ammonia price per ton amounted to $1,001 per ton, waning by -2.8% against the previous month.

The global ammonia market, valued at approximately $XX million in 2025, is projected to experience steady growth, driven by increasing demand from key sectors. A compound annual growth rate (CAGR) of 1.89% from 2025 to 2033 indicates a positive, albeit moderate, expansion. This growth is primarily fueled by the expanding agricultural sector's reliance on nitrogen-based fertilizers, a significant application of ammonia. The textile industry, particularly in rapidly developing economies, also contributes to the demand, alongside applications in mining, pharmaceuticals, and refrigeration. However, stringent environmental regulations concerning ammonia emissions and potential fluctuations in raw material prices pose challenges to sustained growth. Regional variations are anticipated, with Asia Pacific, encompassing major producers like China and India, likely to dominate the market share due to high fertilizer consumption and industrial activity. North America and Europe, while possessing established ammonia production capacities, are expected to experience more moderate growth, influenced by factors like mature agricultural markets and environmental concerns. The competitive landscape is characterized by a mix of large multinational corporations and regional players, leading to ongoing innovation and price competition. The market's future trajectory will depend heavily on the interplay between global food security demands, environmental regulations, technological advancements in ammonia production (e.g., green ammonia), and geopolitical factors influencing raw material availability and pricing. The segmentation within the ammonia market reveals further nuances. The liquid form of ammonia currently holds the largest market share, given its ease of transportation and storage. However, the gaseous form is experiencing growth, driven by its increasing use in specialized industrial applications. Among end-user industries, agriculture remains the dominant sector, followed by the textiles industry. While the pharmaceutical and refrigeration sectors contribute significantly, their growth rates might be comparatively slower compared to agriculture. The ongoing shift towards sustainable agricultural practices and stricter emission control policies may influence future segment growth. Competition amongst established players like BASF, Yara, and CF Industries, along with regional players, is expected to remain intense, characterized by strategic alliances, capacity expansions, and technological improvements in production efficiency. Recent developments include: March 2024: Yara collaborated with GHC SAOC, a wholly-owned subsidiary of Acme Cleantech. Under this collaboration, ACME will provide YARA with ammonia with reduced CO2 emissions. This collaboration covers the supply of 100,000 tons per annum of renewable ammonia., December 2023: CF Industries Holdings Inc. completed the acquisition of Incitec Pivot Limited’s (IPL) Waggaman ammonia production facility for USD 1.675 billion. This acquisition added 880,000 tons of ammonia production annually to the company’s existing production capability.. Key drivers for this market are: Abundant Use in the Fertilizer Industry, Increasing Usage to Produce Explosives. Potential restraints include: Abundant Use in the Fertilizer Industry, Increasing Usage to Produce Explosives. Notable trends are: The Agriculture Industry is Expected to Dominate the Market.

The global ammonia market, valued at $84.35 billion in 2025, is projected to experience steady growth, exhibiting a Compound Annual Growth Rate (CAGR) of 1.1% from 2025 to 2033. This relatively modest growth reflects a mature market with established players and diverse applications. The market's expansion is primarily driven by the burgeoning fertilizer industry, which remains the dominant consumer of ammonia globally. Increasing global food demands and the consequent need for enhanced agricultural productivity are key factors fueling this demand. Further growth is anticipated from expanding applications in refrigeration and certain industrial chemical processes, particularly within the polymer synthesis sector. However, environmental concerns surrounding ammonia emissions and stringent regulations aimed at mitigating these impacts represent significant restraints on market growth. The adoption of more efficient and environmentally friendly ammonia production technologies, along with the exploration of alternative fertilizer options, will shape the market's trajectory in the coming years. The market is segmented by type (liquid and gas ammonia) and application (fertilizer, refrigerant, polymer synthesis, and others). The fertilizer segment holds the largest market share due to ammonia's indispensable role as a nitrogen source in fertilizer production. Competition within the market is intense, with major players including Yara, CF Industries, Nutrien, and others engaging in strategic expansions, mergers, and acquisitions to maintain market share and expand their geographical reach. Growth will also be influenced by regional variations in agricultural practices, industrial development, and regulatory frameworks. While some regions, particularly in Asia-Pacific, show stronger growth potential due to rapid industrialization and agricultural expansion, others might experience more moderate growth due to maturity of the market or stricter environmental regulations. The competitive landscape of the ammonia market is characterized by a blend of established multinational corporations and regional players. The larger companies often possess significant production capacity and global distribution networks, enabling them to leverage economies of scale and supply ammonia to various regions. Regional players, however, often cater to specific local markets and can demonstrate greater agility in responding to localized demand fluctuations. Strategic alliances, collaborations, and technological innovations are key competitive factors, with companies constantly striving to enhance their production efficiency, reduce emissions, and develop new applications for ammonia. Price fluctuations in raw materials, particularly natural gas (a major feedstock for ammonia production), can significantly influence profitability and market dynamics. Furthermore, shifts in government policies, environmental regulations, and international trade agreements can also create both opportunities and challenges for companies operating within this market.

Forecast: Anhydrous Ammonia Market Size Value in Sweden 2023 - 2027 Discover more data with ReportLinker!

Discover the factors influencing ammonia market price, including demand-supply dynamics, production cost, geopolitical factors, and more. Learn about the current ammonia market price and future outlook for this essential gas in agriculture and chemical production.