Ammonia Market Size, Share, Opportunities, COVID-19 Impact, And Trends By Form (Dry, Liquid, Gas), By Application (Agriculture, Mining, Refrigeration, Pharmaceuticals, Other), And By Geography - Forecasts From 2022 To 2027

The global ammonia market was evaluated at USD 64.536 billion for 2025, growing at a CAGR of 3.58%, reaching a market size of USD 76.953 billion by 2030. 

Ammonia is a compound of hydrogen and nitrogen. It is a colorless gas that has a distinct odor. Ammonia is considered one of the key components used to manufacture several things. It can be easily dissolved in water and form an ammonium hydroxide solution. Ammonia can be easily compressed and converted into a colorless liquid under pressure. Due to its less combustible nature, it can be used across several industries in numerous applications.

What are the Ammonia Market Drivers?

• Rising demand from various end-use sectors

The booming demand for ammonia across the agriculture industry as fertilizer, as it is a major source of nitrogen, is one of the key factors playing a significant role in shaping the market growth during the forecast period. The wide usage of ammonia across the pharmaceutical industry as an ingredient is also anticipated to positively impact the market in the projected period. Additionally, the market is expected to experience significant growth due to the increasing use of ammonia as a refrigerant. This trend is largely attributed to ammonia's many advantages, including its environmental safety and that ammonia-based refrigeration systems use less electricity.

Other capabilities, such as better heat transfer properties compared with other refrigerants, make it suitable for smaller areas, thus allowing the plant construction costs to be considerably lower. Therefore, the rising usage of ammonia in refrigeration systems is projected to augment the business growth opportunities for manufacturers in the coming years. 

Ammonia is widely used in numerous applications across the food and beverage sector, wastewater treatment plants, industrial and household cleaning products, metallurgical processes, and others. Moreover, regional players are investing heavily in capacity expansions to meet the growing domestic and international demand for ammonia, showing the potential for market growth.

• Growing cosmetics and pharmaceutical industry

Ammonia has many applications in the pharmaceutical industry for manufacturing sulfa drugs, vitamins, and cosmetics, among others. It is used as a neutralizing agent in pharmaceutical manufacturing. Thus, the pharmaceutical and cosmetics industry’s expansion will directly impact the demand for ammonia. One of the major factors augmenting the demand for medicines is the constantly growing prevalence of chronic diseases worldwide. This growing burden of chronic diseases has led to a significant increase in the global production of medicines and vitamins, a major factor supplementing the demand for efficient clinical trial packaging solutions. 

Segmentation Analysis of the Ammonia Market:

• Liquid segment is anticipated to hold significant market share

By form, the liquid segment is projected to hold a significant market share for the next five years. The wide usage of ammonia as a fertilizer, when compressed into a clear liquid, is considered one of the key factors supporting the significant share of this segment during the forecast period. Liquid ammonia is also widely used in industrial cleaning solutions and is projected to bolster growth during the forecasted period. Thus, the wide usage of liquid ammonia in cleaning solutions and the agricultural sector are the major factors amplifying the demand for ammonia in liquid form.

• The agriculture sector is expected to hold a promising market share in the coming years.

By application, the agriculture segment is projected to hold a substantial market share until the end of the forecast period. The major factor supporting this segment’s growth throughout the forecast period includes the primary applications of ammonia across the agricultural industry as fertilizers. Ammonia is one of the major sources of nitrogen, an essential element required for the growth of plants. Furthermore, ammonia is also used to manufacture liquid fertilizer products that consist of urea, ammonium nitrate, and aqua ammonia. As ammonia reacts instantly with clay particles, soil, and organic matter, it is also boosting its application in the agricultural sector.

The increasing demand for food coupled with developments in the agricultural sector are anticipated to positively influence the market growth in the projected period. According to the Food and Agriculture Organization (FA0), the world population is expected to grow by over a third, or 2.3 billion, between 2009 and 2050, making a total of 9.1 billion people in 2050. The increasing population is expected to propel the demand for food. The annual cereal production will have to rise to about 3 billion tonnes from 2.1 billion tonnes. Hence, the increasing population growth is expected to propel the demand for ammonia in the projected period.

Moreover, according to the Ministry of Finance, India's agriculture sector has shown a buoyant average annual growth of 4.18% at a constant price over the last five years. In 2023-24, the growth rate of the agriculture sector stood at 1.4%. In 2022-23, the food grain production in India reached its all-time peak with 329.7 million tonnes. Similarly, the oilseed production was 41.4 million tonnes.

According to the United States Department of Agriculture, agriculture, food, and related industries contributed nearly US$1.530 trillion to the U.S. gross domestic product (GDP) in 2023, equivalent to 5.6% of the total GDP. The output from American farms stood at US$203.5 billion, which was 0.7% of the total GDP. Therefore, the growing agriculture sector is anticipated to propel the market for ammonia in the coming years.

The Asia Pacific region is expected to show good growth in the coming years.

Geographically, the Asia Pacific region is expected to hold a significant market share throughout the forecast period. The presence of the two largest economies, such as India and China, is one of the major factors bolstering the share of the APAC region in the global ammonia market. These countries are some of the crop-producing countries in the region, which is a notable factor supplementing the demand for fertilizers.

Furthermore, the presence of well-established industries in countries like India, China, and South Korea further bolsters the ammonia market growth in the Asia Pacific region during the next five years. The regional development of industries utilizing ammonia will positively impact market expansion. The presence of established fertilizer manufacturing companies in the region, along with the expanding pharmaceutical industry, supports market growth in the coming years.

The Ammonia market is segmented and analyzed as follows:

• By Form
  • Dry
  • Liquid
  • Gas
• By Application
  • Agriculture
  • Mining
  • Refrigeration
  • Pharmaceuticals
  • Others
• By Geography
  • North America
    • USA
    • Canada
    • Mexico
  • South America
    • Brazil
    • Argentina
    • Others
  • Europe
    • Germany
    • France
    • UK
    • Others
  • Middle East and Africa
    • Saudi Arabia
    • UAE
    • Others
  • Asia Pacific
    • China
    • Japan
    • India
    • South Korea
    • Others

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1. INTRODUCTION

1.1. Market Overview

1.2. Market Definition

1.3. Scope of the Study

1.4. Market Segmentation

1.5. Currency

1.6. Assumptions

1.7. Base and Forecast Years Timeline

1.8. Key Benefits for the Stakeholders

2. RESEARCH METHODOLOGY  

2.1. Research Design

2.2. Research Process

3. EXECUTIVE SUMMARY

3.1. Key Findings

3.2. Analyst View

4. MARKET DYNAMICS

4.1. Market Drivers

4.2. Market Restraints

4.3. Porter’s Five Forces Analysis

4.3.1. Bargaining Power of Supplier

4.3.2. Bargaining Power of Buyers

4.3.3. The Threat of New Entrants

4.3.4. Threat of Substitutes

4.3.5. Competitive Rivalry in the Industry

4.4. Industry Value Chain Analysis

5. GLOBAL AMMONIA MARKET BY FORM

5.1. Introduction

5.2. Dry

5.3. Liquid

5.4. Gas

6. GLOBAL AMMONIA MARKET BY APPLICATION

6.1. Introduction

6.2. Agriculture

6.3. Mining

6.4. Refrigeration

6.5. Pharmaceuticals

6.6. Others

7. GLOBAL AMMONIA MARKET BY GEOGRAPHY

7.1. Introduction

7.2. North America

7.2.1. USA

7.2.2. Canada

7.2.3. Mexico

7.3. South America

7.3.1. Brazil

7.3.2. Argentina

7.3.3. Others

7.4. Europe

7.4.1. Germany

7.4.2. France

7.4.3. UK

7.4.4. Others

7.5. Middle East and Africa

7.5.1. Saudi Arabia

7.5.2. UAE

7.5.3. Others

7.6. Asia Pacific

7.6.1. China

7.6.2. Japan

7.6.3. India

7.6.4. South Korea

7.6.5. Others

8. COMPETITIVE ENVIRONMENT AND ANALYSIS

8.1. Major Players and Strategy Analysis

8.2. Market Share Analysis

8.3. Mergers, Acquisitions, Agreements, and Collaborations

8.3. Competitive Dashboard

9. COMPANY PROFILES

9.1. BASF SE

9.2. Yara

9.3. CF Industries Holdings, Inc.

9.4. CSBP Limited

9.5. EuroChem Group

9.6. Nutrien Ltd.

9.7. GROUP DF

9.8.  IFFCO

9.9. Huaqiang Chemical Group Stock Co., Ltd  

9.10. Koch Industries, Inc. 

9.11. OCI N.V. 

9.12.  SABIC

9.13.  QAFCO 

BASF SE

Yara

CF Industries Holdings, Inc.

CSBP Limited

EuroChem Group

Nutrien Ltd.

GROUP DF

IFFCO

Huaqiang Chemical Group Stock Co., Ltd  

Koch Industries, Inc. 

OCI N.V. 

SABIC

QAFCO