What Has Been The Evolution of the Ammonium Nitrate Market in Recent Years?
The ammonium nitrate market has seen considerable growth due to a variety of factors.
• The ammonium nitrate market has experienced strong growth in recent years. It will increase from $19.4 billion in 2024 to $20.56 billion in 2025 at a compound annual growth rate (CAGR) of 6.0%.
The growth is attributed to the increased production of crops for food security, the rise in demand for explosives in mining and construction, growing use in mining and quarrying, and the increased demand for ammonium nitrate in defense and pharmaceuticals.
How Will the Ammonium Nitrate Market Size?
The ammonium nitrate market is expected to maintain its strong growth trajectory in upcoming years.
• The ammonium nitrate market is expected to see strong growth, reaching $25.61 billion by 2029 at a CAGR of 5.6%.
This growth is driven by increased demand for ammonium nitrate-fuel oil, higher fertilizer demand in agriculture, the widespread use of ammonium nitrate in agriculture, its high nitrogen content, and growing crop yield. Key trends include demand for coated ammonium nitrate granules, new formulations for efficiency and safety, innovative production methods, high-nitrogen fertilizers, and product launches and partnerships.
Which Drivers Are Accelerating Growth In The Ammonium Nitrate Market?
The expansion of construction activities is expected to boost the growth of the ammonium nitrate market in the future. Construction activities involve the creation of buildings, infrastructure, and various structures. This increase in construction is driven by urbanization, infrastructure advancements, and the emphasis on precision in construction projects. Ammonium nitrate plays an essential role in construction by aiding in the break-up of tough materials and supporting large-scale excavation and demolition. It is strictly regulated to ensure worker safety and minimize environmental impact. For example, in July 2024, the US Census Bureau reported that the value of construction activities in the US grew from $2.01 trillion in May 2023 to $2.14 trillion in May 2024. This trend of expanding construction activity is propelling the ammonium nitrate market.
What Key Areas Define The Segmentation Of The Global Ammonium Nitrate Market?
The ammonium nitrate market covered in this report is segmented –
1) By Product Type: High Density, Low Density, Other Product Types
2) By Application: Fertilizers, Explosives, Other Applications
3) By End-User Industry: Agriculture, Mining, Defense, Other End-User Industries
Subsegments:
1) By High Density: High-Density Ammonium Nitrate For Industrial Explosives, High-Density Ammonium Nitrate For Mining And Quarrying, High-Density Ammonium Nitrate For Agricultural Fertilizers, High-Density Ammonium Nitrate For Demolition And Construction
2) By Low Density: Low-Density Ammonium Nitrate For Fertilizer Production, Low-Density Ammonium Nitrate For Explosives In Agriculture, Low-Density Ammonium Nitrate For Controlled-Release Fertilizers
3) By Other Product Types: Ammonium Nitrate Solution (Liquid Form), Ammonium Nitrate With Additives (Prilled With Anti-caking Agents), Specialty Ammonium Nitrate For Specific Applications (Automotive Or Military Use)
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How Are Emerging Trends Reshaping The Dynamics Of The Ammonium Nitrate Market?
Companies in the ammonium nitrate market are focusing on sustainable products like low-carbon-footprint ammonium nitrate to meet environmental goals. This type of ammonium nitrate is produced using sustainable technologies to significantly reduce greenhouse gas emissions compared to traditional methods. In September 2023, Fertiberia, a Spain-based fertilizer manufacturer, launched the world’s first low-carbon technical ammonium nitrate produced using green hydrogen. This environmentally-friendly product is made at Fertiberia’s plant in Puertollano and will be used in mining and civil infrastructure markets across Europe, the Middle East, and Africa.
Who Are the Key Players In The Ammonium Nitrate Market?
Major companies operating in the ammonium nitrate market are:
• Nutrien Ltd.
• Yara International ASA
• Abu Qir Fertilizers and Chemicals Company
• Sasol Ltd.
• Borealis AG
• Potash Corporation of Saskatchewan Inc.
• CF Industries HoldingsInc.
• Ube Industries Ltd.
• EuroChem Group AG
• Orica LimitedIncitec Pivot Ltd.
• Chambal Fertilisers and Chemicals Ltd.
• Dyno Nobel
• Austin Powder Company
• Enaex
• OSTCHEM Holding AG
• URALCHEM JSC
• Fertiberia S.A.
• Neochim Plc
• JSC Belaruskali
• Machhar Industries Limited
• GPN GmbH
• Lovochemie A.S.
• San Corporation
• Vijay Gas Industry Pvt. Ltd.
What Is The Most Dominant Region In The Ammonium Nitrate Market?
North America was the largest region in the ammonium nitrate market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the ammonium nitrate market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.
