Ammonium Chloride Market

The global market for Ammonium Chloride is projected to experience steady growth from 2022 to 2030, with consumption expected to increase by 1.5% annually. China leads the market in both consumption and production, with significant potential for growth. Malaysia and Vietnam also play important roles in the market. Import and export prices are on the rise, with notable fluctuations in volume throughout the analyzed period. Overall, the market value is forecasted to reach $620M by 2030, reflecting a positive outlook for the industry.

Market Forecast

Driven by increasing demand for ammonium chloride worldwide, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +1.5% for the period from 2022 to 2030, which is projected to bring the market volume to 1.7M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.1% for the period from 2022 to 2030, which is projected to bring the market value to $620M (in nominal prices) by the end of 2030.

Consumption

World Consumption of Ammonium Chloride

In 2022, the amount of ammonium chloride consumed worldwide skyrocketed to 1.5M tons, growing by 37% against the previous year's figure. In general, consumption showed a prominent increase. Over the period under review, global consumption attained the maximum volume in 2022 and is likely to see steady growth in the near future.

The global ammonium chloride market value skyrocketed to $451M in 2022, rising by 15% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Over the period under review, the total consumption indicated noticeable growth from 2012 to 2022: its value increased at an average annual rate of +4.1% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, consumption increased by +124.8% against 2014 indices. Over the period under review, the global market attained the maximum level in 2022 and is expected to retain growth in the near future.

Consumption By Country

China (780K tons) remains the largest ammonium chloride consuming country worldwide, comprising approx. 51% of total volume. Moreover, ammonium chloride consumption in China exceeded the figures recorded by the second-largest consumer, Malaysia (311K tons), threefold. The third position in this ranking was held by Vietnam (66K tons), with a 4.3% share.

From 2012 to 2022, the average annual rate of growth in terms of volume in China totaled +24.8%. In the other countries, the average annual rates were as follows: Malaysia (-0.4% per year) and Vietnam (+3.3% per year).

In value terms, the largest ammonium chloride markets worldwide were China ($106M), Malaysia ($57M) and the United States ($37M), together comprising 44% of the global market.

China, with a CAGR of +22.5%, saw the highest rates of growth with regard to market size in terms of the main consuming countries over the period under review, while market for the other global leaders experienced more modest paces of growth.

In 2022, the highest levels of ammonium chloride per capita consumption was registered in Malaysia (9.4 kg per person), followed by Vietnam (0.7 kg per person), China (0.6 kg per person) and the Philippines (0.4 kg per person), while the world average per capita consumption of ammonium chloride was estimated at 0.2 kg per person.

In Malaysia, ammonium chloride per capita consumption decreased by an average annual rate of -1.7% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: Vietnam (+2.3% per year) and China (+24.2% per year).

Production

World Production of Ammonium Chloride

In 2022, after three years of growth, there was decline in production of ammonium chloride, when its volume decreased by -4.3% to 1.5M tons. Overall, the total production indicated a tangible expansion from 2012 to 2022: its volume increased at an average annual rate of +4.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +14.8% against 2018 indices. The pace of growth appeared the most rapid in 2015 when the production volume increased by 49% against the previous year. Global production peaked at 1.6M tons in 2017; however, from 2018 to 2022, production failed to regain momentum.

In value terms, ammonium chloride production fell modestly to $295M in 2022 estimated in export price. Over the period under review, the total production indicated a mild expansion from 2012 to 2022: its value increased at an average annual rate of +1.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +81.7% against 2014 indices. The most prominent rate of growth was recorded in 2016 when the production volume increased by 25%. Over the period under review, global production hit record highs at $300M in 2021, and then declined slightly in the following year.

Production By Country

China (1.3M tons) constituted the country with the largest volume of ammonium chloride production, comprising approx. 92% of total volume. It was followed by India (28K tons), with a 1.9% share of total production.

From 2012 to 2022, the average annual rate of growth in terms of volume in China amounted to +5.9%.

Imports

World Imports of Ammonium Chloride

After three years of growth, overseas purchases of ammonium chloride decreased by -30.5% to 686K tons in 2022. Over the period under review, total imports indicated a mild expansion from 2012 to 2022: its volume increased at an average annual rate of +1.5% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2015 when imports increased by 96%. Over the period under review, global imports reached the peak figure at 987K tons in 2021, and then contracted dramatically in the following year.

In value terms, ammonium chloride imports declined significantly to $260M in 2022. Overall, imports, however, enjoyed tangible growth. The most prominent rate of growth was recorded in 2021 with an increase of 69%. As a result, imports reached the peak of $307M, and then shrank notably in the following year.

Imports By Country

Malaysia was the major importer of ammonium chloride in the world, with the volume of imports resulting at 312K tons, which was approx. 45% of total imports in 2022. It was distantly followed by Vietnam (68K tons), the Philippines (50K tons), Japan (47K tons) and Indonesia (32K tons), together constituting a 29% share of total imports. Brazil (21K tons), Taiwan (Chinese) (18K tons), South Korea (11K tons) and Thailand (10K tons) took a minor share of total imports.

Malaysia experienced a relatively flat trend pattern with regard to volume of imports of ammonium chloride. At the same time, Brazil (+16.5%), Japan (+14.6%), the Philippines (+12.8%), Vietnam (+3.6%) and Indonesia (+3.3%) displayed positive paces of growth. Moreover, Brazil emerged as the fastest-growing importer imported in the world, with a CAGR of +16.5% from 2012-2022. Taiwan (Chinese) experienced a relatively flat trend pattern. By contrast, South Korea (-2.1%) and Thailand (-4.5%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Japan, the Philippines, Brazil and Vietnam increased by +4.8, +4.8, +2.2 and +1.9 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest ammonium chloride importing markets worldwide were Malaysia ($58M), Vietnam ($36M) and Japan ($22M), together comprising 45% of global imports.

In terms of the main importing countries, Japan, with a CAGR of +17.6%, recorded the highest growth rate of the value of imports, over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

The average ammonium chloride import price stood at $379 per ton in 2022, picking up by 22% against the previous year. In general, the import price showed a modest expansion. The pace of growth was the most pronounced in 2021 when the average import price increased by 55% against the previous year. Over the period under review, average import prices hit record highs in 2022 and is likely to continue growth in the near future.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was Vietnam ($528 per ton), while Malaysia ($186 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by South Korea (+6.1%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Ammonium Chloride

In 2022, overseas shipments of ammonium chloride decreased by -56.5% to 602K tons for the first time since 2018, thus ending a three-year rising trend. In general, exports recorded a slight slump. The growth pace was the most rapid in 2015 when exports increased by 58%. Over the period under review, the global exports reached the peak figure at 1.4M tons in 2017; however, from 2018 to 2022, the exports failed to regain momentum.

In value terms, ammonium chloride exports dropped notably to $179M in 2022. Over the period under review, exports, however, continue to indicate a modest increase. The pace of growth appeared the most rapid in 2021 with an increase of 62% against the previous year. As a result, the exports attained the peak of $238M, and then fell significantly in the following year.

Exports By Country

China prevails in exports structure, resulting at 568K tons, which was approx. 94% of total exports in 2022. India (10K tons) held a little share of total exports.

China was also the fastest-growing in terms of the ammonium chloride exports, with a CAGR of -1.7% from 2012 to 2022. India (-12.1%) illustrated a downward trend over the same period. China (+2.4 p.p.) significantly strengthened its position in terms of the global exports, while India saw its share reduced by -3.4% from 2012 to 2022, respectively.

In value terms, China ($144M) remains the largest ammonium chloride supplier worldwide, comprising 80% of global exports. The second position in the ranking was taken by India ($3.7M), with a 2% share of global exports.

In China, ammonium chloride exports remained relatively stable over the period from 2012-2022.

Export Prices By Country

In 2022, the average ammonium chloride export price amounted to $298 per ton, jumping by 73% against the previous year. Overall, the export price enjoyed tangible growth. As a result, the export price reached the peak level and is likely to continue growth in the immediate term.

Average prices varied somewhat amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was India ($356 per ton), while China stood at $254 per ton.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by India (+6.6%).

Source: IndexBox Market Intelligence Platform