This week (5.19-23), domestic liquid ammonia rose, according to the Commodity Market Analysis System of Shengyi Society, the weekly increase of liquid ammonia in Shandong region was 4.09%. The main reason is that, against the backdrop of stable downstream demand, some equipment maintenance has not yet resumed, and the supply pressure has slightly eased. At present, the mainstream price of liquid ammonia in Shandong region is between 2250-2450 yuan/ton.

From a supply perspective, this week the supply has remained relatively stable, with some devices still undergoing maintenance and a decrease in supply. In addition, there is not much supply pressure in Hebei, Anhui, and the two lakes regions. From the beginning of the week to the middle of the week, enterprise quotations have been repeatedly raised, with prices stabilizing over the weekend. This week, manufacturers have raised prices by 100-150 yuan/ton. The market shows a basic balance between supply and demand.
From the demand side, there is not much improvement in downstream demand, with the operating rate of compound fertilizers still at a low level, maintaining a strong demand for urea; Recently, exports have been affected by policies, and market transactions have been average. In addition, domestic industrial demand is weak, and agricultural demand is temporarily vacant due to the start of local wheat harvest, resulting in little improvement in demand. Market sentiment is mainly wait-and-see.
Market forecast:
Business analysts believe that the slight increase in liquid ammonia prices this week is mainly due to favorable conditions on the supply side, and there is still no improvement on the demand side. However, with the expected resumption of maintenance facilities in the north next week, supply is under pressure, and there is a risk of a correction in liquid ammonia prices.