United States Ammonia Market Size
The United States ammonia market size was valued at USD 13514.7 million in 2024 and is projected to grow from USD 14565.3 million in 2025 to USD 28633.36 million by 2030, growing at a CAGR of 8.7% during 2025–2030. Growth is primarily fueled by rising demand for nitrogen-based fertilizers in the agricultural sector and the increasing adoption of ammonia in clean energy initiatives, such as green ammonia and ammonia-based hydrogen storage. Furthermore, domestic production capacity expansions and federal incentives aimed at decarbonising industrial processes are reinforcing market momentum.
Key Market Highlights
- Liquid ammonia holds the largest share by type, driven by its wide use in agriculture and industry.
- Agriculture accounts for 8.7% of the market, reflecting ammonia’s key role as a fertilizer.
- Direct sales channels dominate, as producers target large end-users directly.
- The U.S. leads the North American market, backed by strong production and steady agricultural demand.
U.S. Ammonia Market Trends
Rise of Green Ammonia Projects
As decarbonization gains traction across industrial sectors, green ammonia, produced using renewable energy, is becoming a major focus in the U.S. In 2024, several companies, including CF Industries and OCI Global, announced projects targeting large-scale green ammonia production, with combined capacities exceeding 2 million metric tons by 2027. These efforts align with the U.S. Department of Energy’s (DOE) Hydrogen Shot Initiative, which aims to reduce clean hydrogen costs by 80% this decade. As green ammonia emerges as a viable carrier for hydrogen and a cleaner marine fuel, its development is poised to reshape the ammonia supply landscape while offering new revenue streams beyond fertilizers.
Surge in Ammonia Exports Amid Global Fertilizer Demand
Why is the U.S. boosting ammonia exports?
A surge in global fertilizer demand, particularly in Latin America and Southeast Asia, has led to a sharp increase in ammonia exports from the U.S.
- According to the U.S. International Trade Commission, ammonia exports rose by 23% year-over-year in 2024, driven by strong harvest-linked demand and competitive U.S. production costs. Key exporters like Nutrien and Koch Fertilizer are expanding terminal infrastructure to support international shipments. This benefits domestic producers and positions the U.S. as a critical supplier in the global nitrogen value chain, especially during supply disruptions in Europe and Asia.
United States Ammonia Market Growth Factors
The growth of the U.S. ammonia market is anchored by sustained agricultural demand, a shift toward clean energy, and significant infrastructure investments.
Rising Demand for Nitrogen-Based Fertilizers
Fertilizer use remains the dominant application of ammonia in the U.S., accounting for nearly 80% of total consumption in 2024. The U.S. Department of Agriculture projects increasing crop acreage and yield optimization strategies, sustaining demand for nitrogen-rich fertilizers such as anhydrous ammonia and urea ammonium nitrate (UAN). Since ammonia is a primary building block of nitrogen-based fertilizers, it remains indispensable to ensuring high crop productivity and food security in the U.S. agricultural system.
Emergence of Ammonia in Clean Energy Transition
Ammonia is emerging as a low-carbon energy carrier, especially in hydrogen transportation and shipping fuel. The U.S. Department of Energy’s Hydrogen Shot program, launched in 2021, aims to bring clean hydrogen costs down to $1/kg, catalysing green ammonia’s role as a hydrogen storage medium. Companies like OCI Global, CF Industries, and LSB Industries are investing in green ammonia plants targeting emissions reduction goals. This shift is expanding ammonia’s market potential into energy, shipping, and industrial decarbonization sectors.
Domestic Production Capacity and Export Infrastructure Expansion
To address rising domestic use and international demand, leading U.S. producers such as CF Industries, Koch Fertilizer, Nutrien, and OCI Global are expanding ammonia production, storage, and transport networks, ranging from new port terminals to upgraded pipeline networks. With exports rising 23% YoY in 2024 (USITC), driven by strong demand from Latin America and Asia-Pacific, the U.S. is strengthening its export infrastructure to maintain supply reliability and global price competitiveness. These strategic investments improve resilience amid geopolitical disruptions and position the U.S. as a key global ammonia supplier, supporting sustained growth across fertilizer,, fuel, and industrial sectors.
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Country Analysis
The U.S. ammonia market dominates the North American region, driven by its strong domestic production capacity, robust agricultural demand, and established industrial base. The country benefits from an abundant supply of natural gas, the primary feedstock for ammonia production, enabling cost-effective manufacturing and large-scale distribution. The Midwest region leads consumption, primarily due to its expansive agricultural operations that rely heavily on ammonia-based fertilizers. Additionally, sectors such as refrigeration, pharmaceuticals, and mining contribute to stable demand across other parts of the country. Ongoing investments in infrastructure, sustainability, and technological upgrades further reinforce the U.S.’s position as the regional leader in the ammonia market.
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Type Analysis
In the U.S. ammonia market, liquid ammonia holds the largest market share by type, primarily due to its widespread application in both industrial and agricultural settings. Compared to its gaseous counterpart, liquid ammonia is easier to store, transport, and apply, especially in bulk operations like fertilizer injection in farmlands and use in refrigeration systems. While gaseous ammonia is used in smaller-scale applications and controlled environments, the scalability and cost-effectiveness of liquid ammonia make it the preferred choice across industries.
End-Users Analysis
Among end-users, the agriculture sector accounts for 8.7% of the U.S. ammonia market, underlining its vital role in crop production. Ammonia is a key component in nitrogen-based fertilizers, which are essential for improving crop yield and soil health. Although other sectors such as textiles, mining, pharmaceuticals, and refrigeration also utilize ammonia for various chemical and processing purposes, agriculture remains the most consistent and volume-intensive consumer, especially in regions like the Midwest where large-scale farming dominates.
Sales Channel Analysis
Direct sales channels dominate the ammonia market in the U.S., as manufacturers and producers prioritize efficiency and control in supply chain management. By selling directly to major agricultural enterprises, industrial plants, and processing facilities, producers can offer better pricing, ensure timely delivery, and maintain stronger client relationships. While distribution networks still serve smaller and regional customers, the volume and frequency of orders from large-scale buyers make direct sales the preferred route for most suppliers in the market.
Market Size By Type
Liquid
Gas
Recent Developments
- July 2025- CF Industries launched its carbon capture and sequestration (CCS) system at the Donaldsonville, Louisiana complex, enabling the production of approximately 1.9 million metric tons of low‑carbon ammonia annually. This milestone activates ExxonMobil’s Rose CCS project and allows CF to begin earning Section 45Q tax credits. The initiative significantly advances the company’s decarbonization strategy and supports wider availability of low‑carbon ammonia for energy, fertilizer, and industrial use.
- May 2025- ExxonMobil has entered a long-term agreement to supply 250,000 metric tons annually of low‑carbon ammonia to Japanese trading firm Marubeni. The supply ties into Exxon’s planned hydrogen and ammonia export facility at Baytown, Texas, which features hydrogen production from natural gas with CCS. The deal marks Exxon’s first customer agreement for the Baytown project and underscores the role of ammonia as a viable hydrogen transport vector.
United States Ammonia Market Segmentations
By Type (2021-2033)
By End Use (2021-2033)
- Agriculture
- Textile
- Mining
- Pharmaceutical
- Refrigeration
- Others
By Sales Channel (2021-2033)
Frequently Asked Questions (FAQs)
The United States ammonia market was valued at USD 13514.7 million in 2024.
Emergence of Ammonia in Clean Energy Transition and Domestic Production Capacity and Export Infrastructure Expansion driving the U.S market growth.
In the U.S. ammonia market, liquid ammonia holds the largest market share by type, primarily due to its widespread application in both industrial and agricultural settings.