Reuters: China Ensures Domestic Fertilizer Supply, Resumes Quota-based Exports
According to a report from May 27 by Reuters (Japanese edition): Due to confidence in its stable domestic fertilizer production capacity, China has issued export quotas for urea fertilizer.
Multiple sources familiar with the matter revealed that this move could help ease the surge in international prices and market panic caused by supply disruptions due to the conflict in Iran.
As one of the world’s leading producers and exporters of fertilizers, China manages urea exports through a quota system. The issuance of export quotas indicates China's confidence in maintaining sufficient domestic supply while allocating part of its production capacity for export.
Two Chinese urea manufacturers confirmed to Reuters that they have received export quotas, though they did not disclose further details.
Indian importers stated that the Chinese government has issued notifications permitting urea exports, but specific details remain unknown.
According to consultancy firm StoneX, China is expected to export 4.9 million tons of urea in 2025—lower than previous years’ export volumes (5 to 5.5 million tons)—accounting for approximately 10% of global urea exports.
Since the outbreak of conflict in Iran, the blockade of the Strait of Hormuz has disrupted raw material supplies, leading to fertilizer shortages in major agricultural nations like India and significantly increasing the risk of a global food crisis. By releasing some of its production capacity for export while ensuring domestic agricultural needs are met, China helps alleviate global panic triggered by fertilizer shortages.
Original article: toutiao.com/article/1866396907835392/
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