China Issues 1.5 Million Tons of Urea Export Quotas

China Issues 1.5 Million Tons of Urea Export Quotas

In late May 2026, China officially issued the first batch of urea export quotas, totaling between 1.5 million and 1.6 million tons. The export window for these quotas is strictly set for June to August, coinciding with China's off-peak agricultural season. Additionally, an extra 400,000 tons may be approved through government-to-government (G2G) trade channels.

Under the new regulations, the minimum Free On Board (FOB) price for small-grain urea has been set at lowest $660 per ton. For shipments destined for India, an additional $20 per ton will be added, bringing the floor price to $680. This pricing strategy aims to prevent disorderly low-price competition among domestic enterprises while stabilizing international market prices.