Environmental protection has been the focus countries stressed, and it is a hot topic that people talked about, can be described as China's chemical enterprises across the country, while the majority of these enterprises to use coal as a raw material, which is undoubtedly one of the great sources of pollution, and often some enterprises to environmental protection corresponding weak enforcement, so the chemical companies, fertilizer companies and other energy saving efforts more stringent requirements, it is imperative. More than 70% of liquid ammonia business is the use of coal as a raw material, environmental protection and inspection of tightness, the ammonia market will be affected. Environmental impact of the ammonia market, what, when environmental concern, ammonia market will go from here?

Environmental protection market for liquid ammonia is a double edged sword, we need to see the positive side, it should be noted disadvantages side, as the traditional chemical industry, the majority of our ammonia plants are put old equipment, energy high pollution, combined with exposure to ammonia industry has been the plight of overcapacity in the market, according to insiders, as of 2014, China's ammonia production capacity will reach 78 million tons, while market demand is about 68 million tons of excess as high as around 10 million tons, down heavily troubled and backward liquid ammonia for the future companies will have to think, at this time the Government to strengthen environmental protection efforts, in the short term, then a great blow to the ammonia business, will accelerate the elimination of backward production capacity of enterprises speed ; but in the long term, to increase environmental protection to guide the healthy development of liquid ammonia, optimize the industrial structure is of critical importance.

And environmental protection can also affect the price of liquid ammonia. The main flow of liquid ammonia fertilizer companies, including fertilizer, monoammonium phosphate, urea and other cornerstone of business. Moreover, there are many chemical customers, such as nitric acid, methanol, metallurgy, refrigeration, power plants and so on. When a country has a major event, to ensure that air quality standards, ammonia and downstream business enterprise with ammonia will certainly cut or stop, then take the goods smooth short-term liquid ammonia, prices will become inevitable, such as during the 2014 Youth Olympics, To ensure the blue sky, Jiangsu and Anhui provinces nearly 80% of ammonia businesses shut down for maintenance, greatly reducing the market supply, resulting in short supply, ammonia offer continuous upward; during APEC, ammonia production in Hebei significantly reduced in October 2014, cash the mainstream transaction price from upstream in 2100-2200 yuan / ton to 2200-2250 yuan / ton; this year to commemorate the 70th anniversary of the victory of the world anti-fascist war, September 3 Beijing held a military parade, as in order to ensure air quality during the commemoration of the war , at 0:00 on August 28 to September 4 24, Beijing, Tianjin, Hebei, Shanxi, Inner Mongolia, Shandong, Henan Province, will strengthen the uniform implementation of interim mitigation measures to ensure that emissions of major pollutants region more than 30% year on year reduction, chemical, fertilizer companies have cut or even stop, so reducing chemical companies operating rate around Beijing to reduce ammonia supply on the market, the mainstream transaction price from 2,000 yuan / ton raised to nearly 2,100 yuan / ton .

But downstream fertilizer plants, chemical plants is also affected by environmental constraints, often large enterprise will promptly take appropriate countermeasures, such as exhaust gas, wastewater treatment, remediation, thus ensuring production standards without being discontinued, but our small industry, fertilizer companies abound, governance or difficulties in the purchase of some cleaning equipment capital investment, so when environmental protection intensified, these small and medium sized chemical fertilizer, chemical companies cut, cut bear the brunt, this time for liquid ammonia the demand will be substantially reduced, although there are ammonia supply reduction and demand reduction but nowhere near the local liquid ammonia into a weak market situation, take the goods under pressure, increased inventory, lower prices. Take Hebei region, during the parade, with ammonia downstream operating rate is low compared with companies operating in liquid ammonia, combined highway inspection of hazardous chemicals is very strict, even within a local ban on the high-speed range, most manufacturers began to pass and Line and cheap clean-up inventory, resulting in extremely difficult to take the goods to local ammonia, ammonia serious oversupply market, less than a week, the transaction price of liquid ammonia is about 2200 yuan / ton down to 2,000 yuan / ton. After the parade, North China, East China market generally offer to give slightly higher ammonia, ammonia is now the main producing areas of domestic cash mainstream factory price inched around 2100-2500 yuan / ton, although some high-end offer the actual turnover of 100-150 yuan / ton to talk about space, but compared with the end of August to take the goods has improved.

In short, after the environmental issues of concern, ammonia forward a healthy development phase transformation, we can only hope to boost the short-term, liquid ammonia to solve the problems facing the market fundamentally, considering ammonia pros and cons of the market, thinking their benefit but also to think of disadvantages, Dialectically development ammonia market.