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Production and sales trends of urea enterprises as of August 12 Author/Source: Business Society Date: 2021-08-12 Clicks: 12 On August 12, the urea production facilities of Shandong Ruixing Chemical Co., Ltd. were operating normally, with an annual urea production capacity of 1.6 million tons; currently, the daily production is around 5,000 tons. The spot price for small-particle urea is 2,800 yuan per ton; the quoted price remains stable, with the actual transaction price determined through negotiation. Upstream liquefied natural gas prices have declined slightly recently, reducing cost support. From the demand side: agricultural demand is average, while industrial demand is normal ； The operation rates of downstream compound fertilizer and plywood factories are low, while the operating load rate of melamine manufacturers remains high; these companies generally purchase materials as needed and increase purchases only when prices are low. From the supply side, urea is entering a period of lower demand in the agricultural sector, with a significant number of factories shutting down for maintenance; as a result, China’s daily urea production has dropped to around 138,000 tons, showing a clear decline in production levels. From a transportation perspective: Due to the impact of the pandemic in some areas, logistics and transportation have been restricted. Overall, the support for urea prices is weakening, downstream demand is declining, urea supply is tight, and logistics transportation is restricted.