Ammonium Chloride Price Trend

Ammonium Chloride Prices December 2023

In Q4 2023, ammonium chloride prices in the USA declined to 315 USD/MT due to oversupply, delayed exports, high freight charges, and subdued demand from international markets, particularly Brazil. In addition to this, bottlenecks in the Panama Canal caused shipments to accumulate, while concerns about potential Suez Canal rebel attacks led some shipping companies to choose alternative routes.

On the other hand, in China, halted exports by the National Development and Reform Commission (NDRC) and low domestic demand led to a surplus of ammonium chloride. Disruptions in Red Sea trade due to Yemeni rebel attacks impacted global supplies and extra fees imposed by shippers added to consumer hesitancy. Despite a surge in prices in November driven by stocking for winter crop Rapeseed, overall prices dropped to 90 USD/MT due to excess supply.

In Europe, declining demand from the fertilizer industry and unfavorable weather conditions hindered winter crop planting, leading to increased inventories and disruptions in Red Sea trade. Besides this, the high availability of the product in the global market also contributed to a surplus, leading the prices to stand at 525 USD/MT in December.

Ammonium Chloride Price Trend, Market Analysis, and News

IMARC’s newly published report, titled “Ammonium Chloride Pricing Report 2024: Price Trend, Chart, Market Analysis, News, Demand, Historical and Forecast Data,” offers an in-depth analysis of ammonium chloride pricing, covering an analysis of global and regional market trends and the critical factors driving these price movements.

It encompasses an in-depth review of spot price of ammonium chloride at major ports, a breakdown of prices including Ex Works, FOB, and CIF, alongside a region-wise dissection of ammonium chloride price trend across North America, Europe, Asia Pacific, Latin America, the Middle East and Africa.

The report examines the elements influencing ammonium chloride price fluctuations, such as changes in raw material costs, supply-demand dynamics, geopolitical factors, and industry-specific developments. Additionally, it integrates the latest market news, providing stakeholders with up-to-date information on market shifts, regulatory changes, and technological advancements, thereby offering a comprehensive overview that aids in strategic decision-making and forecasting.

Ammonium Chloride Market Analysis

The global ammonium chloride market size reached US$ 1.4 Billion in 2023. By 2032, IMARC Group expects the market to reach US$ 2 Billion, at a projected CAGR of 4.20% during 2023-2032.

• The rise in agricultural demand represents the key factor driving the global market, with the increasing need for fertilizers to enhance crop productivity amidst burgeoning population growth and expanding urbanization. This demand is further heightened by technological improvements in fertilizer production and farming techniques, which enhanced the efficiency of nutrient absorption by crops.
• In addition to this, strict environmental regulations and mandates aimed at reducing nitrogen runoff and pollution are contributing to increasing demand and sales of nitrogen fertilizers like ammonium chloride. Moreover, climate change-induced variability in weather patterns necessitates the use of fertilizers to mitigate adverse impacts on agricultural yields, thereby propelling the market forward.
• Concurrently, volatile crop prices and government subsidies on fertilizers also play pivotal roles in aiding in market expansion by influencing farmers' decisions regarding fertilizer application rates. Furthermore, global trade policies and tariffs on fertilizers impact international trade flows, thereby affecting the supply and prices of ammonium chloride.
• Furthermore, the widespread product utilization as a food additive, where it serves various functions such as flavoring agent, dough strengthener, and yeast food is acting as another significant growth-inducing factor. Ammonium chloride is deemed as Generally Recognized as Safe (GRAS) for human consumption as a food ingredient in accordance with the regulations set by the United States Food and Drug Administration (FDA). These regulatory approvals and safety assurances further ensure the widespread use of ammonium chloride in the food industry, thus creating a positive outlook for market expansion.
• Apart from this, the surging demand for processed and convenience foods, spurred by changing consumer lifestyles and preferences, is fueling the need for food additives like ammonium chloride. Moreover, as the global population continues to grow, there is a rising demand for food products, further impelling the consumption of ammonium chloride in the flourishing food industry.

Ammonium Chloride News

The report covers the latest developments, updates, and trends impacting the global ammonium chloride market, providing stakeholders with timely and relevant information. This segment covers a wide array of news items, including the inauguration of new production facilities, advancements in ammonium chloride production technologies, strategic market expansions by key industry players, and significant mergers and acquisitions that impact the ammonium chloride price trend.

Latest developments in the ammonium chloride industry:

• In January 2024, Southern Petrochemical Industries Corporation (SPIC) Ltd announced its plan to invest Rs 1,900 crore over two years for strategic group expansion. The company plans to establish a 150 Million Tonnes Per Annum (MTPA) Green Ammonia plant and expand its urea plant, with a fresh investment of Rs 970 crore. Greenstar Fertilizers, a subsidiary of SPIC, will also invest Rs 640 crore in a Water Soluble Fertilizer Mixing plant in Chennai, a 2500 MTPA Sulphuric Acid plant, and refurbishment of plants in Thoothukudi. Moreover, Tuticorin Alkali Chemicals and Fertilizers will establish a Soda Ash and Ammonium Chloride Plant in Thoothukudi at R290 crore.
• In March 2023, Yara Clean Ammonia and Enbridge Inc. signed a letter of intent to jointly invest between US$2.6 and US$2.9 billion to develop and construct a low-carbon blue ammonia production facility at the Enbridge Ingleside Energy Center (EIEC) near Corpus Christi, Texas. The facility, which includes autothermal reforming with carbon capture, is expected to supply low-carbon ammonia to meet growing global demand, with an expected capacity of 1.2-1.4 million tons per annum. Approximately 95% of the carbon dioxide generated from the production process is expected to be captured and transported to nearby permanent geologic storage.

Product Description

Ammonium chloride (NH4Cl) is a compound composed of ammonia (NH3) and hydrochloric acid (HCl). It is commonly known as sal ammoniac. This crystalline salt is highly soluble in water and forms white or colorless crystals with a characteristic salty taste.

Ammonium chloride finds widespread applications across the agriculture industry as a nitrogen fertilizer, providing essential nutrients for plant growth. Due to its ability to supply nitrogen in a readily available form, it is particularly valuable for crops that require quick nitrogen uptake, such as rice.

Along with this, ammonium chloride serves various purposes across the pharmaceutical industry, particularly in cough medicines and expectorants due to its ability to loosen and thin mucus. It also finds application in the manufacturing of dry cell batteries, as an electrolyte to facilitate the flow of electrons.

Ammonium chloride also serves as a flux in the production of metals, helping to remove impurities and improve the quality of the final product during soldering, galvanizing, and tinning processes. Concurrently, it is employed in various chemical reactions, as a buffering agent, and in textile printing processes.

Regional Coverage

The report provides a detailed analysis of the ammonium chloride market across different regions, each with unique pricing dynamics influenced by localized market conditions, supply chain intricacies, and geopolitical factors. This includes price trends, price forecast and supply and demand trends for each region, along with spot prices by major ports. The report also provides coverage of ex-works, FOB, and CIF prices, as well as the key factors influencing the ammonium chloride price trend.

Global Ammonium Chloride Price

The report offers a holistic view of the global ammonium chloride pricing trends in the form of ammonium chloride price charts, reflecting the worldwide interplay of supply-demand balances, international trade policies, and overarching economic factors that shape the market on a macro level. This comprehensive analysis not only highlights current price of ammonium chloride but also provides insights into historical price trends, enabling stakeholders to understand past fluctuations and their underlying causes.

The report also delves into price forecast models, projecting future price movements based on a variety of indicators such as expected changes in supply chain dynamics, anticipated policy shifts, and emerging market trends. By examining these factors, the report equips industry participants with the necessary tools to make informed strategic decisions, manage risks, and capitalize on market opportunities. Furthermore, it includes a detailed ammonium chloride demand analysis, breaking down regional variations and identifying key drivers specific to each geographic market, thus offering a nuanced understanding of the global pricing landscape.

Europe Ammonium Chloride Price

The ammonium chloride market in Europe declined in Q4 2023 due to subdued fertilizer industry demand, unfavorable weather conditions, and high global availability. The disruptions in Red Sea trade by Yemeni rebels and extra fees by shippers impacted global supplies. This led to a surge in inventories within the European market, narrowing the gap between demand and supply, and supporting the current price dip.

This analysis can be extended to include detailed ammonium chloride price information for a comprehensive list of countries.

North America Ammonium Chloride Price

In Q4 2023, the North American ammonium chloride market faced challenges such as an oversupply, delayed exports, high freight charges, and a decline in demand. The peak fertilizer season and subdued international demand from Brazil further impacted prices. The Panama Canal bottleneck caused delays in shipments and inventories. However, demand for Ammonium Chloride remained strong in the domestic fertilizer sector. Some shipping companies bypassed the Suez Canal due to rebel attacks, potentially causing oversupply and price reduction.

Specific ammonium chloride historical data within the United States and Canada can also be provided.

Middle East and Africa Ammonium Chloride Price

The report explores the ammonium chloride pricing trends in the Middle East and Africa, considering factors like regional industrial growth, the availability of natural resources, and geopolitical tensions that uniquely influence market prices.

In addition to region-wise data, information on ammonium chloride prices for countries can also be provided.

Asia Pacific Ammonium Chloride Price

The APAC region experienced a significant price drop due to surplus materials in China, low domestic demand, and disruptions in Red Sea trade. Shippers imposed extra fees, leading to increased inventories. However, a small surge in November prices was reported due to domestic consumers stocking for Rapeseed. The Panama Canal limitations forced some shippers to reroute exports through the Suez Canal, potentially causing an oversupply and price reduction. These factors have contributed to stabilizing ammonium chloride prices.

This ammonium chloride price analysis can be expanded to include a comprehensive list of countries within the region.

Latin America Ammonium Chloride Price

The analysis of ammonium chloride prices in Latin America provides a detailed overview, reflecting the unique market dynamics in the region influenced by economic policies, industrial growth, and trade frameworks.

This comprehensive review can be extended to include specific countries within the region.

Report Coverage

Key Benefits for Stakeholders:

• IMARC’s report presents a detailed analysis of ammonium chloride pricing, covering global and regional trends, spot prices at key ports, and a breakdown of Ex Works, FOB, and CIF prices.
• The study examines factors affecting ammonium chloride price trend, including raw material costs, supply-demand shifts, geopolitical impacts, and industry developments, offering insights for informed decision-making.
• The competitive landscape review equips stakeholders with crucial insights into the latest market news, regulatory changes, and technological advancements, ensuring a well-rounded, strategic overview for forecasting and planning.
• IMARC offers various subscription options, including monthly, quarterly, and biannual updates, allowing clients to stay informed with the latest market trends, ongoing developments, and comprehensive market insights. The ammonium chloride price charts ensure our clients remain at the forefront of the industry.