In early August 2024, Nitrogen prices in the USA continued to rise, extending a trend fueled by strong domestic and international demand, particularly from the agriculture, chemical intermediate, and manufacturing sectors. The significant increase in vehicle sales during July 2024 contributed to heightened Nitrogen consumption, especially in manufacturing and maintenance processes, reinforcing the positive market outlook. This surge in demand has created a supply-demand imbalance, with declining inventory levels pushing prices higher. The anticipation of hurricane-related disruptions has further strained supply chains, leading to tight Nitrogen supplies. The ongoing inquiries from the agriculture sector have kept market sentiments strong, as farmers work to optimize crop yields in preparation for the fall application season. Urea export restrictions from China have further tightened the market, ensuring that Nitrogen prices remain elevated. Nutrien has responded by increasing production at its North American facilities to meet the growing demand, particularly from the agricultural sector, which is anticipating record corn and soybean yields. This steady purchasing pattern underscores the importance of Nitrogen fertilizers in meeting crop production targets, especially amid global supply constraints.

Similarly, Nitrogen prices in the APAC region have experienced a continuous upward trend for the last two months, driven by strong demand. In India, prices have been particularly affected by higher import costs, ongoing inquiries from downstream industries, and a notable rise in vehicle sales in July. The robust demand, coupled with tight supply conditions exacerbated by global procurement activities and port congestion, has maintained upward pressure on prices. India's Nitrogen market outlook remains positive, with strong demand expected to continue through the latter half of 2024, driven by ongoing agricultural activities and favorable pricing. The onset of the monsoon season has further intensified Nitrogen consumption as farmers prepare for the Kharif planting season, ensuring steady demand for fertilizers.

Nitrogen prices last quarter have steadily risen, largely driven by strong procurement activities from the agricultural sector, which is focused on maximizing crop yields in favorable weather conditions and benefiting from government-supported farming initiatives. Restrictions on urea exports from China, coupled with supply disruptions in regions like Egypt and Trinidad, have further tightened global Nitrogen availability, prompting Indian buyers to secure sufficient stock levels. The onset of the monsoon season has also intensified Nitrogen consumption, as farmers prepare for the Kharif planting season, maintaining robust fertilizer demand.

Looking ahead, India's Nitrogen market outlook for the latter half of 2024 seems positive, with steady consumption expected to continue due to ongoing agricultural activities and favorable pricing, ensuring strong buying patterns as the country readies for its next crop cycle.