In May 2024, the global Ammonia market witnessed significant fluctuations. While North America experienced a notable decline due to reduced demand and oversupply, Asia and Europe remained relatively stable with a softening trend. Factors such as regional demand shifts, economic conditions, and regulatory frameworks influenced this disparity. In North America, decreased demand from key sectors and surplus production capacities drove the decline, alongside economic slowdowns and changing agricultural practices. Conversely, steady industrial activity and consistent agricultural demand in Asia and Europe sustained their markets, albeit tempered by regulatory measures. These dynamics highlight the intricate interplay of local economies, sector-specific demands, and regulatory environments in shaping Ammonia market trends.

In the North American region the Ammonia market experienced a dip of 3%. This decline in price is predominantly underpinned by an oversupply situation prevailing within the North American market. Anticipating summer crop planting activities in the country, North American farmers have diligently accumulated fertilizers, including Ammonia, since the conclusion of April 2024, consequently bolstering inventory levels considerably within domestic markets. Despite a gradual resurgence in demand for Ammonia, albeit below initial projections, its impact remained somewhat restrained on prevailing price dynamics. This nuanced interplay between supply and demand dynamics has contributed to a perceptible convergence, thus fostering the observed moderation in prices.

On the other hand, the European market exhibited stable to soft market sentiments throughout the same period. Insights from various market participants indicate that import activity in North-West Europe remained stable, despite a recent increase in natural gas prices due to supply concerns. Shipments from Algeria continued to arrive promptly, with Ammonia availability reported to be healthy. Additionally, demand from downstream sectors, particularly the fertilizer market, remained consistent during this period. Persistent weather challenges in the region have raised concerns among farmers regarding the upcoming planting season, with fears of potential crop damage. Various market reports indicate that the Netherlands and Germany have been significantly impacted by heavy rainfall, causing further delays. In contrast, the United Kingdom has continued with planting activities despite weather disruptions. Insights gathered from various market participants reveal that currently in the United Kingdom, the Gas Utopia discharged more than 18,000 T Algerian Ammonia for CF Industries.

In like manner, the Middle Eastern Ammonia market also maintained stable trend. Demand for Ammonia persisted at a steady pace, with no notable influx of new bids or inquiries from the international market, as certain market participants anticipated a potential further decline in prices stemming from market inactivity.