Urea has undergone a transformation, breaking away from the previous period of sharp decline. Its turnover has remained stable with small to medium increases and is now trending towards stronger operations. Urea manufacturers across the country have seen their factory prices rise, with an increase of about 40-50 yuan/ton in the past five days.

As of now, the supply and demand of urea have shown a slight stalemate. Conservatively estimated, the daily total production of urea in China is around 175000 tons, with low factory inventory, low social inventory, and relatively low agricultural demand. The light storage of urea has not yet started, and the wait-and-see attitude still exists. Rationally speaking, the current supply and demand conditions are not sufficient to support a significant increase in urea prices. This increase is mainly due to the rise in futures prices for spot goods, as well as the maintenance and production reduction of some factories, which has led to a better downstream buying sentiment and a better follow-up of new orders from urea factories. For example, after the maintenance of a large particle factory in Inner Mongolia and the reduction of supply, the price of large particle urea in Shanxi and other regions has slightly increased.

While the price of urea has risen, there has been little change in the ex factory price of ammonium sulfate nationwide, with only a few regions such as Hebei experiencing a slight increase of 2-25 yuan/ton. There are still some regions experiencing a slight decline, and there is currently no large-scale purchase of ammonium sulfate in the market.

On August 1st, the price of ammonium sulfate at Tianjin Port was 1070-1090 yuan/ton, an increase of 20-30 yuan/ton compared to July 25th. Tianjin Port is one of the important ports in China and plays a crucial role in the export of ammonium sulfate. With the continuous development of global trade, the export volume of ammonium sulfate at Tianjin Port has also shown a stable growth trend.

The trading volume of ammonium sulfate in Tianjin Port reflects to some extent the dynamics of the ammonium sulfate market in China and even globally. The inventory situation of ammonium sulfate in Tianjin Port is usually closely related to the price of ammonium sulfate in the market. When the inventory is sufficient, the market price of ammonium sulfate may stabilize or decline. When the inventory is tight, the price of ammonium sulfate is likely to rise. The inventory in Tianjin Port is an important market indicator for judging the price of ammonium sulfate in a certain period of time.

Since July, the inventory of ammonium sulfate in Tianjin Port has remained high, with prices stabilizing or slightly decreasing across the country for most of the time. Overall, there has been little fluctuation, and prices have been slightly stagnant for a period of time. It was not until around July 25th that the port inventory slightly eased, and some traders began to inquire about prices from ammonium sulfate factories. Although they were cautious about purchasing high priced ammonium sulfate, their enthusiasm for purchasing has improved compared to before. It is understood that the inventory of ammonium sulfate in Tianjin Port was only half of its high level a few days ago, and daily shipments and port collections are still 10000 tons. Although the port inventory has once again risen to a high level, it is not the accumulation of goods in the early stage, but the replenishment of inventory by new goods after the goods left the port in the early stage.

It is reported that Brazil has already reserved at least 700000 tons of ammonium sulfate to arrive in August, mostly from China. The current port cargo is not enough to support the fulfillment of all orders, so most of the market is optimistic about the future market of ammonium sulfate. After purchasing ammonium sulfate, pellet manufacturers need to squeeze it before transporting it to the port. Squeezing takes some time, so it is necessary to purchase in advance before the shipping schedule arrives.

From the current perspective, it is highly likely that the price of ammonium sulfate will rise again due to the purchase of export orders. However, it cannot be ruled out that the subsequent demand will not be large, and traders and extrusion pellet manufacturers will work together to lower prices in the market. Therefore, it is necessary to closely monitor the shipment situation at ports such as Tianjin Port, the international price trend of ammonium sulfate, and the procurement progress of domestic extrusion pellet manufacturers and traders.