Ammonia Global Market Report 2025

Ammonia, a colorless gas composed of hydrogen and nitrogen, has diverse applications, ranging from refrigeration and water purification to the production of various chemicals. In the agricultural sector, ammonia serves as a fertilizer, supporting plant growth by providing essential nitrogen.

In the ammonia market, products are categorized into anhydrous ammonia and aqueous ammonia. Anhydrous ammonia, devoid of water, stands out as a cost-effective nitrogen fertilizer widely used in agriculture. It is available in various forms such as liquid, gas, and powder, finding applications in fertilizers, chemicals, refrigeration, pharmaceuticals, fibers and plastics, pulp and paper, among others.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report's Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The escalating U.S. tariffs and rising trade tensions in spring 2025 are expected to significantly affect the chemicals sector, which is facing a disproportionate impact-particularly from tariffs on petrochemicals and intermediates, where affordable domestic alternatives are limited. Specialty chemical producers, who rely heavily on Chinese raw materials, are encountering production disruptions. Meanwhile, fertilizer manufacturers are seeing their profit margins squeezed due to tariffs on phosphate imports. In response, companies are increasing investments in R&D for bio-based alternatives, forming procurement alliances to strengthen purchasing power, and relocating production to tariff-neutral countries like Saudi Arabia.

The ammonia market research report is one of a series of new reports from The Business Research Company that provides ammonia market statistics, including ammonia industry global market size, regional shares, competitors with an ammonia market share, detailed ammonia market segments, market trends and opportunities, and any further data you may need to thrive in the ammonia industry. This ammonia market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The ammonia market size has grown strongly in recent years. It will grow from $79.13 billion in 2024 to $84.52 billion in 2025 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to agricultural demand, expanding population, energy and power generation, chemical manufacturing:.

The ammonia market size is expected to see strong growth in the next few years. It will grow to $121.65 billion in 2029 at a compound annual growth rate (CAGR) of 9.5%. The growth in the forecast period can be attributed to hydrogen economy development, renewable energy, carbon capture and storage (ccs), clean energy transition. Major trends in the forecast period include green ammonia production, ammonia as hydrogen carrier, ammonia for energy storage, hydrogen fuel cell vehicles, sustainable fertilizer production, green shipping, ammonia for carbon capture, ammonia in pharmaceuticals, ammonia sensors and monitoring.

The forecast of 9.5% growth over the next five years reflects a modest reduction of 0.4% from the previous estimate for this market.This reduction is primarily due to the impact of tariffs between the US and other countries. This is likely to directly affect the US by restricting fertilizer-grade ammonia supplies from Russia and Trinidad, leading to higher agricultural input costs and potential food price inflation.The effect will also be felt more widely due to reciprocal tariffs and the negative effect on the global economy and trade due to increased trade tensions and restrictions.

The expansion of the fertilizer industry is positively impacting the growth of the ammonia market. Ammonia is utilized as ammonium nitrate fertilizer, which releases nitrogen, a vital nutrient for the growth of plants, including agricultural crops and lawns. The rapid advancement of the fertilizer industry is anticipated to increase the utilization of ammonia, as it is extensively used in fertilizer manufacturing. For instance, in September 2024, The Agricultural Industries Confederation, a UK-based trade association representing the agri-supply sector, reported that in England and Wales, 687 thousand tonnes of nitrogen were used in 2022, a slight decrease from 692 thousand tonnes in 2023. Thus, the growth of the fertilizer industry is driving the ammonia market's expansion.

The rise in sustainable agricultural practices is anticipated to be a pivotal driver for the ammonia market. Sustainable agriculture emphasizes ecologically and socially responsible farming methods aimed at enhancing long-term crop productivity while reducing negative environmental impacts. Such practices align well with ammonia-based fertilizers due to their environmentally-friendly attributes. The 2023 Global Agricultural Productivity Report from the College of Agriculture and Life Sciences at Virginia Tech sets a goal growth rate of 1.91% for the Global Agricultural Productivity Index during the period of 2021-2050 to sustain productivity. Hence, the rise in sustainable agricultural practices is propelling the growth of the ammonia market.

Major companies in the ammonia market are concentrating on developing advanced biomass-balanced products to address the increasing demand for eco-friendly agricultural solutions. Biomass-balanced products function as fertilizers and chemicals, providing a more sustainable alternative to traditional methods. They often come with certifications that emphasize their environmentally friendly qualities, helping consumers and businesses make informed choices that support a circular economy. For example, in May 2024, BASF SE, a Germany-based chemical company, introduced several products, including ammonia anhydrous BMBcert, ammonia solution 24.5% BMBcert, urea powder BMBcert, and urea solutions (40% and 45%) BMBcert. BASF's Ammonia Anhydrous BMBcert is an ISCC PLUS-certified biomass-balanced product that significantly cuts emissions and bolsters sustainability initiatives. The ammonia solution 24.5% BMBcert features a lower carbon footprint due to its biomass-balanced formulation. Urea Prills BMBcert aids customers in reducing scope 3 emissions, while the Urea Solutions (40% and 45%) offer effective biomass-balanced options to help achieve sustainability objectives and minimize overall carbon impact.

Major companies in the ammonia market are focusing on strategic collaborations to extend their business outreach and enhance their market position. These partnerships involve collaborative ventures between multiple organizations with specific business goals. In July 2023, Hynfra, a Poland-based hydrogen company, and Fidelity Group, a US-based financial services corporation with a presence in Jordan, joined forces to establish Jordan Green Ammonia. This project aims to develop a notable renewable ammonia production facility with an estimated annual capacity between 100,000 to 200,000 metric tons. Situated advantageously within the ASEZ (Aqaba Special Economic Zone), this initiative targets the fertilizer and marine fuel industries, positioning Jordan Green Ammonia as a significant player in sustainable ammonia production. This collaborative effort contributes to the global shift towards renewable and environmentally friendly energy sources.

In September 2023, EnBW, a German energy company, completed the acquisition of a 10% equity stake in the Skipavika Green Ammonia (SkiGA) project for an undisclosed amount. Through this acquisition, EnBW secures long-term offtake rights on the produced ammonia. The Skipavika Green Ammonia (SkiGA) initiative, based in Norway, focuses on sustainable and environmentally friendly ammonia production utilizing green and renewable resources. This strategic partnership reflects a commitment to environmentally conscious practices and contributes to the emerging market for sustainable ammonia.

Major companies operating in the ammonia market include Yara International ASA, BASF SE, CF Industries Holdings Inc., Nutrien Ltd., OCI Nitrogen, Eurochem Group, Koch Fertilizer LLC, China National Petroleum Corporation, Rashtriya Chemicals and Fertilizers Ltd., Qatar Fertiliser Company, Mitsubishi Gas Chemical Co Inc., Uralchem JSC, Evonik Industries AG, Acron Group, Orica Limited, Gujarat Narmada Valley Fertilizers & Chemicals Ltd., Agrium Europe S.A., Fauji Fertilizer Company Limited, China National Offshore Oil Corporation, National Fertilizers Limited, Trammo Inc., Pupuk Kaltim, Sinochem Group, KBR Inc., Dyno Nobel

Asia-pacific was the largest region in the ammonia market in 2024 and is expected to be the fastest-growing region in the forecast period. The regions covered in the ammonia market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.

The countries covered in the ammonia market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, and USA.

The ammonia market consists of sales of ammonia in the form of liquid, gas and powder. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

Ammonia Global Market Report 2025 from The Business Research Company provides strategists, marketers and senior management with the critical information they need to assess the market.

This report focuses on ammonia market which is experiencing strong growth. The report gives a guide to the trends which will be shaping the market over the next ten years and beyond.

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Where is the largest and fastest growing market for ammonia ? How does the market relate to the overall economy, demography and other similar markets? What forces will shape the market going forward, including technological disruption, regulatory shifts, and changing consumer preferences? The ammonia market global report from the Business Research Company answers all these questions and many more.

The report covers market characteristics, size and growth, segmentation, regional and country breakdowns, competitive landscape, market shares, trends and strategies for this market. It traces the market's historic and forecast market growth by geography.

• The market characteristics section of the report defines and explains the market.
• The market size section gives the market size ($b) covering both the historic growth of the market, and forecasting its development.
• The forecasts are made after considering the major factors currently impacting the market. These include:

The forecasts are made after considering the major factors currently impacting the market. These include the technological advancements such as AI and automation, Russia-Ukraine war, trade tariffs (government-imposed import/export duties), elevated inflation and interest rates.

• Market segmentations break down the market into sub markets.
• The regional and country breakdowns section gives an analysis of the market in each geography and the size of the market by geography and compares their historic and forecast growth.
• The competitive landscape chapter gives a description of the competitive nature of the market, market shares, and a description of the leading companies. Key financial deals which have shaped the market in recent years are identified.
• The trends and strategies section analyses the shape of the market as it emerges from the crisis and suggests how companies can grow as the market recovers.

Scope

• Markets Covered:1) By Product Type: Anhydrous Ammonia; Aqueous Ammonia
• 2) By Form Type: Liquid; Powder
• 3) By Application Type: Fertilizers; Chemicals; Refrigeration; Pharmaceutical; Fibers and Plastics; Pulp and Papers; Other Application Types
• Subsegments:
• 1) By Anhydrous Ammonia: Industrial Grade Anhydrous Ammonia; Agricultural Grade Anhydrous Ammonia
• 2) By Aqueous Ammonia: Low-Concentration Aqueous Ammonia; High-Concentration Aqueous Ammonia
• Companies Mentioned: Yara International ASA; BASF SE; CF Industries Holdings Inc.; Nutrien Ltd.; OCI Nitrogen; Eurochem Group; Koch Fertilizer LLC; China National Petroleum Corporation; Rashtriya Chemicals and Fertilizers Ltd.; Qatar Fertiliser Company; Mitsubishi Gas Chemical Co Inc.; Uralchem JSC; Evonik Industries AG; Acron Group; Orica Limited; Gujarat Narmada Valley Fertilizers & Chemicals Ltd.; Agrium Europe S.A.; Fauji Fertilizer Company Limited; China National Offshore Oil Corporation; National Fertilizers Limited; Trammo Inc.; Pupuk Kaltim; Sinochem Group; KBR Inc.; Dyno Nobel
• Countries: Australia; Brazil; China; France; Germany; India; Indonesia; Japan; Russia; South Korea; UK; USA; Canada; Italy; Spain
• Regions: Asia-Pacific; Western Europe; Eastern Europe; North America; South America; Middle East; Africa
• Time Series: Five years historic and ten years forecast.
• Data: Ratios of market size and growth to related markets, GDP proportions, expenditure per capita,
• Data Segmentations: country and regional historic and forecast data, market share of competitors, market segments.
• Sourcing and Referencing: Data and analysis throughout the report is sourced using end notes.
• Delivery Format: PDF, Word and Excel Data Dashboard.