"China Orders Fertilizer Companies to Halt Urea Exports... Concerns Over Impact on Korea"

Bloomberg reported on the 7th that the Chinese government has instructed its domestic fertilizer companies to halt urea exports.

The news agency cited sources familiar with the matter, stating that some major Chinese fertilizer manufacturers have not signed new export contracts since early this month in accordance with government directives.

In October 2021, when China restricted the export of urea solution, a gas station in Seodaemun-gu, Seoul was selling urea solution. Photo by Jinhyung Kang aymsdream@

At the Zhangzhou Commodity Exchange in China, urea futures prices have fluctuated after soaring 50% between mid-June and the end of July. Local futures trading experts explained that the price increase is due to declining domestic inventory and rising exports, the report added.

China is the world's largest producer of urea. Therefore, if exports are halted, shortages and price increases of related products such as urea and urea solution could be triggered worldwide.

The report highlighted India, Korea, Myanmar, and Australia as the countries importing the most Chinese urea.

China's Ministry of Commerce and the National Development and Reform Commission have not immediately commented on these reports. Korea experienced shortages of urea and urea solution in 2021 due to China's export restrictions on urea.

This content was produced with the assistance of AI translation services.