Chinese producers receive urea export allocations

Release time：2026-05-27

Singapore, 26 May Chinese urea producers are set to receive around 1.5mn t of urea export allocations, withanother 400,000t to be allocated to three state-owned trading firms for export via government-to-governmentagreements, according to several market participants.

It is unclear so far which producers have received allocations, and what volumes have been allocated. It is also unclear when exactly urea exports will resume.

Guidance floor prices have been set at $660/t fob for prilled urea and $670/t fob for granular urea, while those for prilled urea going to India are to be set at $680/t fob, understands.

The guidance floor price for automotive-grade urea has not emersed yet, but several sources said there could be no specific price indicated. suppliers could likely set their own prices based on the guidance floor price for prilled urea.

China last issued urea export allocations in August 2025. The country exported a total of 4.9mn t of urea in 2025.

The industry is expected to hold a meeting on 28 May to discuss details on this latest round of allocations.

The export quota has been implemented, with the price differential between domestic and international markets remaining significant. Currently, domestic exports of small-grained urea are priced at $655–$675 per ton FOB, while Shandong's ex-factory price for small-grained urea ranges from 1,730 to 1,740 yuan per ton, reflecting a notable gap between domestic and international prices. China will release a total of over 2 million tons of urea export quotas, with provisional minimum export guidance prices set at $660 per ton FOB for small-grained urea and $670 per ton FOB for large-grained urea; the minimum price for small-grained urea destined for India is $680 per ton FOB.