SunSirs: Ammonium Chloride Market Declined (November 8-12)

Price trend

According to the data monitoring of SunSirs, the ammonium chloride market declined this week (11.8-11.12). As of November 12, the price was around 1,177 RMB/ton, down 3.48% from the price of 1,220 yuan at the beginning of the week.
Analysis review

The start-up of the downstream market was low, and the start of winter storage was slow, put pressure on the demand for ammonium chloride. According to SunSirs, the overall start of downstream compound fertilizer was still at a low level near 30%. Market traders’ offers declined slightly. However, because the start of domestic ammonium chloride was at around 70%, the overall supply pressure on the ammonium chloride market was not strong, and manufacturers’ ex-factory prices were still strong.

The prices of raw liquid ammonia and fertilizer urea continued to fall, which had a negative impact on the ammonium chloride market. According to the monitoring of SunSirs, as of November 12, the domestic liquid ammonia price was 4,896 RMB/ton, down 1.67% from the price of liquid ammonia at the beginning of the week; as of November 12, the domestic urea price was 2,620 RMB/ton, down 2.46% from the price of urea at the beginning of the week.
Market outlook

The ammonium chloride analyst of SunSirs believes that on the one hand, demand is weak, on the other hand, the cost and urea prices have fallen. It is expected that the market price of ammonium chloride may continue to fall slightly in the short term.