
Study Period | 2019 - 2030 |
Market Volume (2025) | 191.97 Million tons |
Market Volume (2030) | 210.81 Million tons |
CAGR | 1.89 % |
Fastest Growing Market | Middle-East and Africa |
Largest Market | Asia Pacific |
Market Concentration | Low |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
Ammonia Market Analysis
The Ammonia Market size is estimated at 191.97 million tons in 2025, and is expected to reach 210.81 million tons by 2030, at a CAGR of 1.89% during the forecast period (2025-2030).
The ammonia industry is undergoing a significant transformation driven by sustainability initiatives and technological advancements. Global ammonia trade volumes are expected to increase from approximately 17 million tons in 2022/2023 to more than 19 million tons per annum in the coming years, indicating strong ammonia market growth and growing international demand. Major industry players are increasingly investing in green ammonia projects, with companies like ACME Group and Inox Air Products announcing significant investments in 2024 for developing green ammonia facilities. The industry's shift towards sustainable production methods is reshaping traditional supply chains and creating new ammonia market opportunities.
Technological innovation is playing a crucial role in modernizing ammonia production processes and improving efficiency. According to the US Geological Survey (USGS), China maintained its position as the world's leading producer with 43 million metric tons of ammonia in 2023, demonstrating the impact of advanced production technologies. Companies are increasingly adopting carbon capture and storage (CCS) technologies, with several major producers announcing new projects incorporating these innovations in 2024. The integration of renewable energy sources in ammonia production is becoming more prevalent, with multiple facilities worldwide transitioning to solar and wind power for their operations.
The market is witnessing a surge in strategic partnerships and collaborations aimed at developing low-carbon ammonia solutions. In January 2024, significant agreements were formed between major industry players for green ammonia production and distribution, including partnerships between ReNew Energy Global PLC and JERA Co., Inc. for developing green ammonia projects. The industry is also experiencing increased investment in infrastructure development, with several companies announcing new storage and transportation facilities to support the growing demand for sustainable ammonia products.
The global push towards decarbonization is driving substantial changes in ammonia production methods and applications. According to industry reports, fertilizer consumption recovered by approximately 4% in 2023, reaching 192.5 million metric tons compared to the previous year, indicating strong market fundamentals. The maritime sector is emerging as a new growth avenue, with multiple companies conducting trials of ammonia as a marine fuel in 2024. This diversification of applications, coupled with increasing focus on environmental regulations, is fostering innovation and creating new ammonia market opportunities beyond traditional uses.
Ammonia Market Trends
ABUNDANT USE IN THE FERTILIZER INDUSTRY
The ammonia fertilizer industry represents one of the primary drivers for the ammonia market, as ammonia serves as an essential raw material for nitrogen fertilizer production, playing a crucial role in global food security. According to the United Nations, the world population is projected to reach 9 billion by 2050, necessitating a 60% increase in food production from the same land area, making optimized fertilizer ammonia usage critical for achieving food security through sufficient and nutritious food production. This demographic pressure has prompted significant investments in ammonia production capacity, exemplified by the US Department of Agriculture's announcement in March 2023 of a new grant program for domestic fertilizer production, receiving USD 3 billion in applications from more than 350 independent companies.
The growing emphasis on agricultural productivity has led to substantial infrastructure developments in the ammonia fertilizer market. In March 2023, CBH Group launched its new Kwinana Fertilizer Plant, featuring a 32,000-ton urea ammonium nitrate (UAN) storage capacity and 55,000 tons of granular bulk fertilizer storage. This facility marks a significant advancement in liquid fertilizer business capabilities, increasing granular fertilizer production capacity by 15,000 tons. Additionally, major agricultural nations are intensifying their fertilizer production efforts, as evidenced by India's increased urea production reaching 28 million metric tons in FY2023, up from 25.72 million tons in the previous year, demonstrating the growing demand for ammonia-based fertilizers in agricultural applications.
INCREASING USAGE TO PRODUCE EXPLOSIVES
Ammonia plays a vital role in the production of explosives, particularly through its oxidation into nitric acid, which is crucial for manufacturing various explosive materials including nitroglycerine, nitrocellulose explosives, and ammonium nitrate slurry explosives. The mining sector's growing demand for explosives has become a significant driver for ammonia consumption, as these materials are essential for extracting minerals and metals such as copper, nickel, gold, and molybdenum from their ores. The expansion of mining activities globally has created a sustained demand for ammonia-based explosives, with ammonium nitrate being the primary component in mining explosives.
The industrial explosives sector has witnessed substantial growth, particularly in developing economies where infrastructure development and mining activities are intensifying. For instance, India's explosives industry consumes approximately 550,000 tons of explosives annually, with projections indicating significant growth by 2028. According to the GOCL Corporation report, the country's explosives market is expected to reach approximately USD 159.2 million by 2028. This growth is further supported by India's position as the second-largest coal producer globally, driving the demand for explosives in mining operations. The Munitions India Limited (MIL) report highlights the dramatic increase in explosives volume, rising from about INR 200 crore in FY 2022 to nearly INR 1,500 crore in FY 2023, demonstrating the robust growth in industrial explosives consumption.
Segment Analysis: Type
Liquid Segment in Ammonia Market
The liquid ammonia segment dominates the global ammonia market, accounting for approximately 95% of the total ammonia market share in 2024. This significant market share is attributed to liquid ammonia's versatile applications across various industries, including agriculture, textiles, pharmaceuticals, and mining. Liquid ammonia serves as a crucial raw material in the production of fertilizers, particularly urea and other nitrogen-based fertilizers, which drives its substantial demand in the agricultural sector. The segment is also expected to maintain its dominance with the fastest growth rate of around 2% during 2024-2029, driven by increasing demand from emerging economies and the growing adoption of liquid ammonia in industrial refrigeration systems. The growth is further supported by the rising investments in green ammonia production facilities and the expanding applications in the pharmaceutical and textile industries.

Gas Segment in Ammonia Market
The gas segment plays a vital role in the ammonia market, particularly in industrial refrigeration applications and chemical processing. This segment is characterized by its essential use in cold storage facilities, food processing plants, and industrial cooling systems. Refrigerant ammonia is preferred in refrigeration applications due to its superior thermodynamic properties and environmental benefits as a natural refrigerant with zero ozone depletion potential. The segment's growth is supported by the increasing adoption of ammonia-based refrigeration systems in industrial facilities and the cold chain logistics sector. Additionally, the gas segment benefits from stringent environmental regulations promoting the use of natural refrigerants over synthetic alternatives.
Segment Analysis: End-User Industry
Agriculture Segment in Ammonia Market
The agriculture segment dominates the global ammonia market, accounting for approximately 82% of the total market share in 2024, while also demonstrating the strongest growth trajectory with a projected growth rate of around 2% from 2024 to 2029. This commanding position is primarily driven by ammonia's crucial role in fertilizer production, with about 80% of annual ammonia production being utilized for fertilizer manufacturing. The segment's growth is supported by increasing global food demand, with the United Nations projecting the need for 60% higher food production by 2050. The demand for fertilizers has shown significant recovery, with consumption increasing by approximately 4% in 2023, reaching 192.5 million metric tons compared to the previous year. Major initiatives like the USD 500 million program announced by the US President to boost domestic fertilizer production and similar actions being urged in the European Union are further strengthening this segment's position.
Mining Segment in Ammonia Market
The mining segment represents a significant growth opportunity in the ammonia market, particularly due to its extensive use in the production of explosives for mining operations. The segment's expansion is driven by the increasing global demand for minerals and metals, with industries using non-fuel minerals generating an estimated USD 3.64 trillion in value-added products in 2022, up 9% from the previous year. The United States mineral production alone contributed more than USD 105 billion to the U.S. economy in 2023, showing a USD 4 billion increase over 2022. The segment's growth is further supported by major mining activities in key regions like China, which has more than 1,500 large-scale mining operations generating over USD 400 billion in revenue annually.
Remaining Segments in End-User Industry
The textiles, pharmaceutical, and refrigeration segments, along with other end-user industries, collectively play vital roles in the ammonia industry. The textiles segment utilizes ammonia in fabric treatment and dyeing processes, while the pharmaceutical sector employs it in the production of various APIs and drugs. The refrigeration segment is gaining prominence due to ammonia's superior thermodynamic properties and environmental benefits as a natural refrigerant. Other end-user industries, including water treatment, food and beverage, rubber, and pulp and paper industries, contribute to the market's diversity through various applications such as water treatment, food processing, and industrial processes.
Ammonia Market Geography Segment Analysis
Ammonia Market in Asia-Pacific
The Asia-Pacific region represents the largest and most dynamic ammonia market globally, driven by robust agricultural activities, an expanding industrial base, and growing manufacturing sectors. China and India serve as the primary growth engines, while Japan and South Korea contribute significantly through their advanced industrial applications. The region's demand is primarily fueled by fertilizer production, textile manufacturing, and pharmaceutical industries, with increasing adoption in refrigeration applications. The presence of major manufacturing facilities and ongoing investments in green ammonia projects further strengthens the region's market position.

Ammonia Market in China
China dominates the Asia-Pacific ammonia market as the largest producer and consumer, with approximately 60% ammonia market share in 2024. The country's extensive agricultural sector, coupled with its massive industrial base, drives substantial demand for ammonia-based products. China's leadership in the market is reinforced by its position as the world's largest producer of various crops and its significant investments in fertilizer production. The country's strategic focus on sustainable agriculture and industrial development, combined with its robust manufacturing capabilities and extensive distribution network, continues to strengthen its market position.
Growth Dynamics in Chinese Ammonia Market
China is projected to maintain its position as the fastest-growing market in the Asia-Pacific region with an expected growth rate of approximately 2% during 2024-2029. The country's growth trajectory is supported by ongoing investments in green ammonia projects, technological advancements in ammonia production processes, and expanding applications across various industries. The government's emphasis on agricultural modernization, coupled with increasing demand from the pharmaceutical and textile sectors, further drives market expansion. China's commitment to reducing carbon emissions through green ammonia initiatives and its focus on sustainable agricultural practices contribute to its robust growth outlook.
Ammonia Market in North America
The North American ammonia market is characterized by advanced ammonia production technologies, robust infrastructure, and significant investments in sustainable production methods. The United States, Canada, and Mexico form a well-integrated market with extensive trade relationships and shared technological advancements. The region's market is driven by strong agricultural demand, industrial applications, and a growing emphasis on green ammonia production. The presence of major manufacturers and ongoing investments in production capacity expansion reinforces the region's significant position in the global ammonia market.
Ammonia Market in United States
The United States leads the North American ammonia market with approximately 80% ammonia market share in 2024. The country's dominant position is supported by its extensive agricultural sector, advanced industrial infrastructure, and significant investments in ammonia production capacity. The presence of major manufacturers, coupled with robust distribution networks and technological capabilities, reinforces its market leadership. The country's focus on sustainable agriculture and increasing adoption of green ammonia production methods further strengthens its market position.
Growth Dynamics in United States Ammonia Market
The United States is expected to maintain its position as the fastest-growing market in North America with a projected growth rate of approximately 1% during 2024-2029. The country's growth is driven by increasing investments in production capacity, rising demand from various end-user industries, and a growing emphasis on sustainable production methods. The expansion of green ammonia projects, coupled with technological advancements and supportive government policies, contributes to the market's growth trajectory. The country's focus on reducing carbon emissions and promoting sustainable agricultural practices further supports market expansion.
Ammonia Market in Europe
The European ammonia market demonstrates a strong focus on sustainable production methods and technological innovation, with significant investments in green ammonia initiatives. Germany, the United Kingdom, France, and Italy represent the key markets, each contributing uniquely to the region's market dynamics. The region's market is characterized by stringent environmental regulations, advanced production technologies, and a growing emphasis on reducing carbon emissions. The presence of major manufacturers and ongoing investments in sustainable production methods reinforces Europe's position in the global ammonia market.
Ammonia Market in Germany
Germany stands as the largest ammonia market in Europe, with its strong industrial base and advanced manufacturing capabilities. The country's leadership is supported by its robust chemical industry, significant investments in sustainable production methods, and advanced technological infrastructure. Germany's focus on environmental sustainability and ongoing investments in green ammonia production reinforces its position as a key player in the European market.
Growth Dynamics in German Ammonia Market
Germany leads the growth trajectory in Europe's ammonia market, driven by its strong focus on sustainable production methods and technological innovation. The country's growth is supported by significant investments in green ammonia projects, advanced manufacturing capabilities, and robust research and development activities. Germany's commitment to reducing carbon emissions and promoting sustainable industrial practices continues to drive market expansion.
Ammonia Market in South America
The South American ammonia market is characterized by significant agricultural demand and growing industrial applications, with Brazil and Argentina serving as key markets. Brazil emerges as both the largest and fastest-growing market in the region, driven by its extensive agricultural sector and increasing industrial applications. The region's market dynamics are influenced by agricultural modernization, an expanding industrial base, and growing investments in production capacity. The presence of major manufacturers and ongoing developments in sustainable production methods contributes to the region's market growth.
Ammonia Market in Middle East & Africa
The Middle East & Africa region demonstrates strong market potential, supported by significant production capacity and growing industrial applications. Saudi Arabia emerges as both the largest and fastest-growing market in the region, driven by its robust petrochemical industry and increasing investments in production capacity. The region's market is characterized by expanding industrial infrastructure, growing agricultural applications, and an increasing focus on sustainable production methods. The presence of major manufacturers and ongoing investments in capacity expansion reinforces the region's position in the global ammonia market.
Ammonia Industry Oveview
Top Companies in Ammonia Market
The global ammonia market is led by major players including CF Industries Holdings, Yara, Nutrien Ltd, OCI, and Qatar Fertiliser Company (QAFCO). These ammonia companies are increasingly focusing on sustainable production methods, particularly in developing low-carbon and green ammonia capabilities through significant investments in research and development. Strategic collaborations and partnerships, especially in clean energy transition projects, have become a prominent trend as companies aim to establish robust clean ammonia supply chains. Companies are also expanding their geographical presence through strategic acquisitions and joint ventures, particularly in regions with favorable access to raw materials and growing demand. The ammonia industry is witnessing a notable shift towards modernizing production facilities with advanced technologies for improved efficiency and reduced environmental impact, while simultaneously developing innovative applications for ammonia in emerging sectors like maritime fuel and renewable energy storage.
Fragmented Market with Strong Regional Players
The global ammonia market exhibits a fragmented structure with a mix of large multinational corporations and regional specialists. The top five players collectively hold a relatively modest ammonia market share, indicating significant opportunities for medium and smaller players in regional markets. The industry is characterized by strong vertical integration, with many major players maintaining control over their supply chains from raw material procurement to end-product distribution. The market has witnessed numerous strategic partnerships and joint ventures, particularly focused on developing clean ammonia production capabilities and establishing new production facilities in strategic locations.
Recent years have seen increased merger and acquisition activities, primarily driven by companies seeking to strengthen their position in key growth markets and acquire technological capabilities for sustainable production. Companies are increasingly pursuing strategic alliances to share technological expertise and market access, particularly in developing markets. The industry is also witnessing a trend of traditional chemical companies diversifying into specialized ammonia products and applications, while regional players are expanding their presence through targeted acquisitions and capacity expansions.
Innovation and Sustainability Drive Future Growth
Success in the ammonia market increasingly depends on companies' ability to adapt to evolving environmental regulations and sustainability requirements. Players are investing heavily in developing green ammonia and blue ammonia production capabilities, which is becoming a key differentiator in the market. The industry is witnessing a shift towards more sustainable production methods, with companies focusing on reducing carbon footprints and implementing innovative technologies. Market leaders are strengthening their positions through strategic investments in research and development, particularly in areas like renewable energy integration and carbon capture technologies.
For new entrants and smaller players, success lies in identifying and serving niche markets or specific regional demands while developing specialized applications for ammonia. Companies need to focus on building strong relationships with end-users, particularly in the agricultural sector, while also exploring emerging applications in clean energy and industrial sectors. The regulatory landscape, particularly regarding emissions and safety standards, continues to shape market dynamics and investment decisions. Players must also consider the increasing importance of supply chain resilience and the growing demand for locally produced ammonia in key markets. The ability to secure reliable raw material supplies and establish efficient distribution networks remains crucial for maintaining competitive advantage.
Ammonia Market Leaders
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CF Industries Holdings Inc.
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Yara
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Nutrien Ltd
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OCI
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Qatar Fertiliser Company (QAFCO)
- *Disclaimer: Major Players sorted in no particular order

Ammonia Market News
- March 2024: Yara collaborated with GHC SAOC, a wholly-owned subsidiary of Acme Cleantech. Under this collaboration, ACME will provide YARA with ammonia with reduced CO2 emissions. This collaboration covers the supply of 100,000 tons per annum of renewable ammonia.
- December 2023: CF Industries Holdings Inc. completed the acquisition of Incitec Pivot Limited’s (IPL) Waggaman ammonia production facility for USD 1.675 billion. This acquisition added 880,000 tons of ammonia production annually to the company’s existing production capability.
Ammonia Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
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4.1 Drivers
- 4.1.1 Abundant Use in the Fertilizer Industry
- 4.1.2 Increasing Usage to Produce Explosives
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4.2 Restraints
- 4.2.1 Hazardous Effects in its Concentrated Form
- 4.3 Industry Value Chain Analysis
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4.4 Porter's Five Forces Analysis
- 4.4.1 Bargaining Power of Suppliers
- 4.4.2 Bargaining Power of Buyers
- 4.4.3 Threat of New Entrants
- 4.4.4 Threat of Substitute Products and Services
- 4.4.5 Degree of Competition
5. MARKET SEGMENTATION (Market Size in Volume)
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5.1 Type
- 5.1.1 Liquid
- 5.1.2 Gas
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5.2 End-user Industry
- 5.2.1 Agriculture
- 5.2.2 Textiles
- 5.2.3 Mining
- 5.2.4 Pharmaceutical
- 5.2.5 Refrigeration
- 5.2.6 Other End-user Industries (Food and Beverage, Rubber, Water Treatment, Petroleum, and Pulp and Paper Industries)
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5.3 Geography
- 5.3.1 Asia-Pacific
- 5.3.1.1 China
- 5.3.1.2 India
- 5.3.1.3 Japan
- 5.3.1.4 South Korea
- 5.3.1.5 Rest of Asia-Pacific
- 5.3.2 North America
- 5.3.2.1 United States
- 5.3.2.2 Canada
- 5.3.2.3 Mexico
- 5.3.3 Europe
- 5.3.3.1 Germany
- 5.3.3.2 United Kingdom
- 5.3.3.3 France
- 5.3.3.4 Italy
- 5.3.3.5 Rest of Europe
- 5.3.4 South America
- 5.3.4.1 Brazil
- 5.3.4.2 Argentina
- 5.3.4.3 Rest of South America
- 5.3.5 Middle East and Africa
- 5.3.5.1 Saudi Arabia
- 5.3.5.2 South Africa
- 5.3.5.3 Rest of Middle East and Africa
6. COMPETITIVE LANDSCAPE
- 6.1 Mergers and Acquisitions, Joint Ventures, Collaborations, and Agreements
- 6.2 Market Share (%) Analysis
- 6.3 Strategies Adopted by Leading Players
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6.4 Company Profiles
- 6.4.1 BASF SE
- 6.4.2 CF Industries Holdings Inc.
- 6.4.3 Chambal Fertilisers and Chemicals Limited
- 6.4.4 CSBP
- 6.4.5 Eurochem Group
- 6.4.6 Group DF (Ostchem)
- 6.4.7 IFFCO
- 6.4.8 Jsc Togliattiazot
- 6.4.9 Koch Fertilizer LLC
- 6.4.10 Nutrien Ltd
- 6.4.11 OCI
- 6.4.12 PT Pupuk Sriwidjaja Palembang (Pusri)
- 6.4.13 Qatar Fertiliser Company (QAFCO)
- 6.4.14 Rashtriya Chemicals And Fertilizers Limited
- 6.4.15 SABIC
- 6.4.16 Yara
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
- 7.1 Use of Ammonia as a Refrigerant
- 7.2 Growing Adoption of Green Ammonia
Ammonia Industry Segmentation
Ammonia is an inorganic compound composed of a single nitrogen atom covalently bonded to three hydrogen atoms, an amidase inhibitor, and a neurotoxin. Furthermore, more than 80% of the ammonia produced by industry is used as fertilizer in agriculture. It is also used as a refrigerant gas, for water purification, and in producing plastics, explosives, textiles, pesticides, dyes, and other chemicals.
The ammonia market is segmented by type, end-user industry, and geography. By type, the market is segmented into liquid and gas. By end-user industry, the market is segmented into agriculture, textiles, mining, pharmaceutical, refrigeration, and other end-user industries. The report also covers the market size and forecasts for the ammonia market in 15 countries across major regions. For each segment, the market sizing and forecasts have been done on the basis of volume (tons).
Type | Liquid | ||
Gas | |||
End-user Industry | Agriculture | ||
Textiles | |||
Mining | |||
Pharmaceutical | |||
Refrigeration | |||
Other End-user Industries (Food and Beverage, Rubber, Water Treatment, Petroleum, and Pulp and Paper Industries) | |||
Geography | Asia-Pacific | China | |
India | |||
Japan | |||
South Korea | |||
Rest of Asia-Pacific | |||
North America | United States | ||
Canada | |||
Mexico | |||
Europe | Germany | ||
United Kingdom | |||
France | |||
Italy | |||
Rest of Europe | |||
South America | Brazil | ||
Argentina | |||
Rest of South America | |||
Middle East and Africa | Saudi Arabia | ||
South Africa | |||
Rest of Middle East and Africa |
Ammonia Market Research FAQs
How big is the Ammonia Market?
The Ammonia Market size is expected to reach 191.97 million tons in 2025 and grow at a CAGR of 1.89% to reach 210.81 million tons by 2030.
What is the current Ammonia Market size?
In 2025, the Ammonia Market size is expected to reach 191.97 million tons.
Who are the key players in Ammonia Market?
CF Industries Holdings Inc., Yara, Nutrien Ltd, OCI and Qatar Fertiliser Company (QAFCO) are the major companies operating in the Ammonia Market.
Which is the fastest growing region in Ammonia Market?
Middle-East and Africa is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Ammonia Market?
In 2025, the Asia Pacific accounts for the largest market share in Ammonia Market.
What years does this Ammonia Market cover, and what was the market size in 2024?
In 2024, the Ammonia Market size was estimated at 188.34 million tons. The report covers the Ammonia Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Ammonia Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Our Best Selling Reports
Ammonia Market Research
Mordor Intelligence delivers comprehensive insights into the global ammonia market. We leverage extensive expertise in analyzing NH3 industry dynamics. Our detailed research covers the entire spectrum of the ammonia industry. This includes traditional gray ammonia and the emerging green ammonia and blue ammonia segments. The report provides an in-depth analysis of the ammonia market. It examines ammonia production methods, including ammonia synthesis processes and various forms such as anhydrous ammonia, liquid ammonia, and aqueous ammonia.
Stakeholders across the value chain benefit from our thorough ammonia market outlook and ammonia price trend analysis. This information is available in an easy-to-read report PDF format for download. The research encompasses key applications, including fertilizer ammonia, refrigerant ammonia, and ammonia as a hydrogen carrier. It also explores emerging opportunities in synthetic ammonia and commercial ammonia segments. Our ammonia market research provides valuable insights into agricultural ammonia applications and chemical applications of ammonia. Additionally, it covers the rapidly evolving green ammonia industry, enabling informed decision-making for industry participants and investors.