Urea price trends across China on May 22

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Urea price trends across China on May 22 Author/Source: Yuege Agri-Materials Network Date: 2020-05-22 Clicks: 6 The domestic urea market continues to show a downward trend; new orders from manufacturers are not performing well, and there are no signs of improvement in market activity. Agricultural demand in China has yet to pick up, with dealers adopting a cautious attitude. Industrial demand remains relatively stable, and downstream buyers are cautious about purchasing, preferring to order only as needed. The domestic urea market is expected to remain weak in the short term. The downward trend in the domestic urea market continues, with prices falling to varying degrees in production areas such as Shandong, Jiangsu, Shanxi, Shaanxi, Henan, and Sichuan. Prices in consumption areas like Guangdong and Guangxi have also decreased. Market prices are gradually approaching the expected levels, but downstream end-users and traders remain bearish and are still waiting for the right time to stock up. Recently, while manufacturers have continued to slightly reduce their quotes, this has not led to a significant increase in demand, and the situation regarding new orders remains unsatisfactory. At present, the overall demand remains dominated by the industrial sector, with glue board manufacturers and compound fertilizer plants making purchases as needed, resulting in moderate demand. Agricultural demand is weak in many areas, and in places such as Sichuan, agricultural demand is also nearing its end. Due to manufacturer inventory and shipment pressures, as well as traders’ bearish sentiment, prices are likely to continue falling in the short term. There are no significant positive factors to support the market at present, so it is expected to experience weak downward adjustments in the short term. Today, in Shandong, Hualu Hengsheng’s medium-sized particles cost 1900, while its large-sized particles cost 1970. In Hebei’s Dongguang region, small-sized particles are priced at 1890, and large-sized particles at 1960. In Henan, Xinchuanxin’s products cost 1950, while Yangmei Fengxi’s products cost 1850. In Jiangsu, Linggu’s products cost 2060, while Anhui Haoyuan’s products sell locally for 2040 and at 2000 when shipped elsewhere. In Inner Mongolia, Boda’s products cost 1720, while Xinjiang Yankuang’s products cost 1750. In Shandong province, the reference price for small-grained urea at the factory level is around 1,900–1,980 yuan per ton. The wholesale price in Linyi is about 1,970 yuan per ton, while in Heze it’s around 1,960–1,970 yuan per ton. Some manufacturers have reduced their prices by 10 yuan per ton. In Hebei province, the reference price for small-grained urea is around 1,890–1,900 yuan per ton; a few manufacturers have lowered their prices by 10 yuan per ton. In Henan province, the typical factory price for small-grained urea is 1,930–1,970 yuan per ton, with some manufacturers reducing their prices by 10–20 yuan per ton. In Anhui province, the typical factory price for small-grained urea is around 1,980–2,040 yuan per ton, and some companies have lowered their prices by 20–40 yuan per ton. In Jiangsu province, the typical price for small and medium-sized grains of urea is around 2,010–2,080 yuan per ton, with a few companies reducing their prices by 20 yuan per ton. In Shanxi province, the reference price for small-grained urea is around 1,860–1,870 yuan per ton, while for larger grains it’s around 1,860 yuan per ton. Some manufacturers have reduced their prices by 30 yuan per ton. In Inner Mongolia, the typical transaction price for small and medium-sized grains of urea is around 1,720–1,770 yuan per ton, with some manufacturers lowering their prices by 20 yuan per ton. In Hubei province, the typical price for small-grained urea is 2,000–2,030 yuan per ton, with prices showing a downward trend. In Shaanxi province, the reference price at the factory level is around 1,920 yuan per ton, with some companies reducing their prices by 40 yuan per ton. In Guangxi province, the typical wholesale price is around 2,120 yuan per ton, with a slight decrease of around 10 yuan. In Sichuan province, the factory price for small and medium-sized grains of urea is 2,000–2,050 yuan per ton, with prices remaining stable for now. In Guangdong province, the typical transaction price for small-grained urea is around 2,110–2,140 yuan per ton, with prices showing a downward trend. In Xinjiang province, the reference price for urea at the factory level is around 1,700–1,780 yuan per ton, with prices remaining stable for now. In Jilin province, the factory price for urea is around 2,050 yuan per ton, and prices can be negotiated for larger orders; overall, prices remain stable. In Heilongjiang province, the transport cost for small-grained urea is around 2,000 yuan per ton, with prices remaining stable. In Liaoning province, the transport cost for small-grained urea is around 1,960–1,980 yuan per ton, with prices negotiable; some companies have reduced their prices by 40 yuan per ton. Today, the domestic urea market continues to show a downward trend. Urea manufacturers are continuing to reduce prices in an attempt to boost sales, but the effects are limited, and it seems that prices have not yet reached their bottom. The start of fertilizer preparation in summer has been delayed, resulting in a sluggish market for agricultural urea; industrial users are mainly making limited purchases. There are no significant positive factors to support the market at present, so it is expected to experience weak downward adjustments in the short term.