2023 On February 23, the “2023 Spring Nitrogen Fertilizer Market Outlook Analysis Meeting,” hosted by the China Nitrogen Fertilizer Industry Association, was successfully held in Jincheng, Shanxi Province. Gu Zongqin, Chairman of the China Nitrogen Fertilizer Industry Association, attended the meeting and delivered a keynote speech. More than 400 participants from nitrogen fertilizer production and processing companies, trading and distribution enterprises, downstream users, futures firms, and news media took part in the event.

The meeting was chaired by Wang Liqing, Secretary-General of the China Nitrogen Fertilizer Industry Association.

Leaders of the Jincheng Municipal Government and leaders of Jinneng Holding Equipment Manufacturing Group delivered welcoming remarks at the conference.

Gu Zongqin, Chairman of the China Nitrogen Fertilizer Industry Association, delivered a keynote speech titled “Unite as One, Take Initiative, and Do Our Utmost to Ensure a Stable Supply of Nitrogen Fertilizers for Spring Plowing.” Chairman Gu noted that in 2022, the global pandemic continued to spread, disrupting industrial and supply chains. International markets experienced tight supplies and high prices for key commodities such as energy, food, and fertilizers, leading to a complex economic situation. However, under the guidance and support of the Party Central Committee and local governments, the nitrogen fertilizer industry overcame numerous challenges and made every effort to ensure the production and sales of nitrogen fertilizers. Ultimately, the industry successfully fulfilled its mission of guaranteeing supply and stabilizing prices, earning full recognition and praise from various government ministries and commissions.

Chairman Gu reviewed the economic performance of the nitrogen fertilizer industry in 2022. In 2022, China’s nitrogen fertilizer production reached 41.31 million tons of pure nitrogen, an increase of 2.6% year-on-year; urea production totaled 57.61 million tons in physical terms, also up 2.6% year-on-year. However, exports of nitrogen fertilizers and urea declined by 26.2% and 46.6%, respectively, compared to the previous year. Despite this, domestic supply of nitrogen fertilizers increased significantly, effectively ensuring a stable supply of these products.

2023 In the coming year, despite continued significant uncertainties in the international political and economic landscape—and under the ongoing impacts of the pandemic and the Russia-Ukraine war—prices of key commodities such as oil and natural gas are expected to decline. As a result, production, trade, and demand for fertilizers are projected to recover somewhat. Domestically, the supply situation for raw materials like coal and natural gas remains tight, keeping prices persistently high. While both supply and demand for nitrogen fertilizers are robust, demand growth in the non-agricultural sector is particularly pronounced. Nevertheless, the overall situation regarding the stable supply of nitrogen fertilizers remains relatively optimistic. According to estimates by the China Nitrogen Fertilizer Industry Association, domestic urea supply from October 2022 to April 2023 could reach 32.18 million tons, an increase of 1.47 million tons over the same period last year.

Regarding the key priorities for the 2023 nitrogen fertilizer market, Chairman Gu emphasized the following points: First, ensure a stable supply of nitrogen fertilizers for spring plowing; second, stabilize nitrogen fertilizer prices in the spring plowing market; third, make rational arrangements for exports; fourth, carry out energy-saving and carbon-reduction efforts in nitrogen fertilizer production and develop new, high-efficiency nitrogen fertilizer products; and fifth, accelerate the construction of a traceability system for chemical fertilizers.

At this conference, the top 20 nitrogen fertilizer companies of 2022 and emerging star enterprises in nitrogen fertilizer sales were recognized. A special ceremony was also held to formally commit to ensuring the supply of fertilizers for spring plowing in the nitrogen fertilizer industry, thereby encouraging stable fertilizer supplies and safeguarding food security.