PUBLISHER: Mordor Intelligence | PRODUCT CODE: 2073618
PUBLISHER: Mordor Intelligence | PRODUCT CODE: 2073618
According to Mordor Intelligence, the china fertilizer market size is projected to grow from USD 28.40 billion in 2025 to USD 30.02 billion in 2026 and is forecast to reach USD 37.51 billion by 2031 at 4.56% CAGR over 2026-2031.

This report is Segmented by Type (Complex and Straight), by Form (Conventional and Specialty), by Application Mode (Fertigation, Foliar, and Soil), and by Crop Type (Field Crops, Horticultural Crops, and Turf and Ornamental). The Market Forecasts are Provided in Terms of Value (USD) and Volume (Metric Tons)
Direct government subsidies for balanced fertilization and soil restoration under the Ministry of Agriculture and Rural Affairs programs are accelerating nutrient demand across China's agricultural regions. The agricultural machinery purchase subsidy program expanded to include precision fertilizer application equipment, with subsidy rates reaching 30% for eligible farmers in 2024. These policy interventions create artificial demand elasticity that supports premium pricing for efficiency-enhancing products while simultaneously driving volume growth in targeted nutrient categories. The subsidy framework particularly benefits controlled-release and water-soluble fertilizers that demonstrate measurable efficiency gains over conventional alternatives. Policy implementation varies significantly across provinces, with major grain-producing regions receiving proportionally higher subsidy allocations that distort regional competitive dynamics.
Food security mandates embedded in China's national agricultural strategy create persistent upward pressure on fertilizer application intensity across all crop categories. The State Council's diversified food supply system opinion emphasizes yield maximization per hectare to offset limited arable land expansion, directly translating to increased nutrient input requirements. This policy framework operates independently of market pricing signals, creating inelastic demand for fertilizer products even during periods of agricultural commodity price volatility. Regional implementation focuses on closing yield gaps between average and potential productivity, with particular emphasis on grain crops that underpin national food security objectives. The pressure intensifies in regions where urbanization reduces agricultural land availability, forcing remaining farmland to achieve higher productivity levels through intensive fertilization practices.
New GB 15618 soil quality standards impose penalties for excess nitrate leaching and phosphorus runoff, creating compliance costs that constrain fertilizer application rates across environmentally sensitive agricultural regions. The Ministry of Ecology and Environment has strengthened inspection protocols with real-time monitoring systems that track nutrient loading in watershed areas, forcing farmers to reduce application rates or face significant financial penalties . These regulatory constraints operate independently of agronomic optimization, creating situations where yield-maximizing fertilizer rates exceed legally permissible application levels. Compliance requirements favor efficiency-enhanced products that deliver equivalent nutritional value at lower application rates, but the transition period creates market disruption as farmers adjust application practices.
Other drivers and restraints analyzed in the detailed report include:
For complete list of drivers and restraints, kindly check the Table Of Contents.
Complex fertilizers are the largest segment, holding 56.2% of the China fertilizer market share in 2025, and are projected to register the fastest 6.0% CAGR through 2031. The complex segment benefits from precision agriculture trends that favor customized nutrient ratios matched to specific crop requirements and soil conditions. NPK compound fertilizers dominate the complex category, supported by established agronomic protocols that specify balanced nutrient ratios for major crop categories. Specialty complex formulations incorporating micronutrients and secondary macronutrients command premium pricing while addressing specific nutritional deficiencies identified through soil testing programs.
The segment's prominence is primarily attributed to its ability to provide multiple nutrients in a single application, making it highly efficient for farmers. Complex fertilizers are particularly crucial in China's urban greening sector, playing a vital role in maintaining decorative trees, high-quality grass, and nurturing flowers in greenhouses. The segment's strength is further reinforced by China's increasing reliance on NPK fertilizers, which typically account for about half of total fertilizer consumption. The granulation production method stands as the primary manufacturing approach, reflecting China's sophisticated fertilizer production landscape.
Conventional products accounted for 74.0% of revenue in 2025, supported by established manufacturing infrastructure and cost advantages that align with price-sensitive agricultural markets. The conventional segment encompasses traditional granular and crystalline formulations that deliver nutrients reliably through proven application methods and equipment compatibility. Bulk handling advantages in conventional products support efficient distribution systems that serve large-scale agricultural operations with minimal logistical complexity. Manufacturing scale economies in conventional fertilizer production create cost structures that maintain competitive advantages over specialty alternatives in price-sensitive market segments.
Specialty variants are forecast to expand at the fastest pace of 6.1% CAGR through 2031. This segment is experiencing rapid advancement due to the increasing adoption of precision agriculture and modern irrigation methods. Water-soluble fertilizers, which account for about half of the specialty segment, are gaining particular traction due to their superior nutrient-delivery efficiency. The segment's growth is further propelled by rising awareness among farmers about the benefits of controlled-release fertilizers and their role in sustainable agriculture. The Chinese government's emphasis on environmental protection and the need for improved fertilizer efficiency are driving innovation in specialty fertilizer formulations.